Ariz. Jewelry Store Loses Battle for Coverage of COVID-19 Business Losses

  • Order

BOSTON — A federal judge has ruled that a Scottsdale, Ariz. jewelry store is not entitled to coverage from Ohio Security Insurance Co. for COVID-19 business interruption losses because there was no “direct physical loss of or damage” to insured property.

In a May 25 order, Judge Denise Casper of the U.S. District Court for the District of Massachusetts explained that contamination from the COVID-19 virus does not cause actual physical damage because surfaces can be cleaned and disinfected.

The judge also rejected Accents in Sterling Inc. d/b/a Rare Earth Gallery’s argument that its inability to use its store because …


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