Fla. Medical Spa Not Covered for COVID-19 Losses, Federal Judge Rules

  • Order

MIAMI — A Florida federal judge has dismissed a medical spa’s COVID-19 business interruption coverage action against Certain Underwriters at Lloyd’s London, ruling that it failed to adequately allege “direct physical loss of or damage to” its insured property or nearby properties.

In a Sept. 13 order, Judge Darrin P. Gayles of the U.S. District Court for the Southern District of Florida explained that the alleged presence of COVID-19 in Atma Beauty Inc.’s spa did not physically change its condition or the condition of surrounding properties.

“While Plaintiff argues that a loss of functionality of, access to, or intended use …


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