Chicago Restaurant Owner Loses Federal Court Battle for COVID-19 Coverage

  • Order

CHICAGO — A federal judge has dismissed a COVID-19 business interruption coverage action filed against Regent Insurance Co. by the owner of 11 Chicago Italian restaurants on the basis it did not sustain “physical loss or damage” to its insured properties, as required by the policy.

In a July 11 order, Judge Virginia Kendall of the U.S District Court for the Northern District of Illinois ruled that mere loss of use, without “tangible, concrete” damage, does not trigger coverage.

Rosebud Restaurants Inc. incurred economic losses when it was forced to temporarily cease in-person dining in its restaurants beginning in March …


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