Shoe Wholesalers Lose Bid for COVID-19 Business Interruption Coverage in Conn.

BRIDGEPORT, Conn. — A group of shoe wholesalers are not entitled to coverage from Hartford Fire Insurance Co. for COVID-19 related business interruption losses because their losses fall within the policies’ Virus Exclusions, a Connecticut state judge has ruled.

On June 15, Judge Barbara Bellis of the Waterbury (Conn.) Superior Court further concluded that the government closure orders issued in response to the COVID-19 pandemic did not cause Moda LLC, Marc Fisher Footwear Corp. and Easy Spirit LLC to sustain a direct physical loss of covered property.

The wholesalers design and sell footwear to various retailers, including Nordstrom, Macy’s and …