Chicago-Area Businesses Lose Federal Court Battles for COVID-19 Coverage

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CHICAGO — Two Illinois federal judges have ruled in favor of insurers in COVID-19 coverage actions filed by three small businesses, ruling they did not sustain physical losses or damages as required by their policies.

In opinions issued on Sept. 29 and 30, Judges John F. Kness and Franklin U. Valderrama of the U.S. District Court for the Northern District of Illinois concluded that the insured’s failed to allege their insured properties, or surrounding properties, were physically altered or suffered “tangible or concrete” losses.

The actions were filed against West Bend Mutual Insurance Co., The Cincinnati Insurance Co. and Factory …


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