Insurer Disclaims Liability for N.Y. Luxury Hotel Chain’s COVID-19 Losses



DOCUMENTS
  • Complaint


NEW YORK — Federal Insurance Co. has asked a New York judge to rule that it is not liable for a luxury hotelier’s COVID-19 business losses, arguing that there was no evidence of direct physical loss or damage to the insured properties.

In a Feb. 5 complaint filed in the New York County Supreme Court, the insurer says BD Hotels cannot recover under its policy for the losses, which arose from the closure of its numerous hotels in compliance with government COVID-19 orders.

BD Hotels owns and operates 24 hotels in New York City, including the Maritime, the Bowery, the …






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