Industrial Coatings Business Not Entitled to COVID-19 Coverage, 4th Cir. Affirms

  • Opinion

BALTIMORE — The 4th Circuit U.S. Court of Appeals has affirmed that an industrial coatings business is not entitled to COVID-19 coverage from Valley Forge Insurance Co. because it did not sustain “direct physical loss or damage” to its insured properties.

On June 7, the appellate panel agreed with the U.S. District Court for the Eastern District of North Carolina that National Coatings & Supplies Inc. (NCS)’s temporary loss of use of its property did not trigger coverage without physical damage.

NCS manufactures automotive paint and industrial coatings. It alleged that the presence of COVID-19 in nearby locations, ingress and …


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