Calif. High Court Refuses to Disturb COVID-19 Coverage Ruling

SACRAMENTO, Calif. — The California Supreme Court has refused to review an appellate court’s ruling that economic losses caused by government stay-at-home orders issued in response to the COVID-19 pandemic do not trigger coverage under property insurance policies.

On March 9, the state high court let stand a decision by the California Court of Appeal, 4th District, that the orders do not cause “direct physical loss of or damage” to insured property, as required by the policy.

The Inns by the Sea operates five boutique hotels — four in Carmel-by-the-Sea, Calif., and one in Half Moon Bay, Calif. In March …


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