Ky. Plastic Surgeons Lose Bid for COVID-19 Coverage in Federal Court

  • Order

LEXINGTON, Ky. — A Kentucky plastic surgery practice cannot recoup COVID-19-related lost business income from Liberty Mutual Insurance and Ohio Security Insurance Co. because it did not sustain “direct physical loss” as required by the policy, a federal judge has ruled.

In a March 2 order, Judge Robert E. Wier of the U.S. District Court for the Eastern District of Kentucky ruled that mere “loss of use” caused by government restrictions does not constitute tangible destruction or deprivation of property.

Plastic Surgeons of Lexington LLC sustained losses when government orders issued in response to the COVID-19 pandemic temporarily barred all …


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