Plaintiffs in Some States Defy Insurer Winning Streak in COVID Lawsuits
To anyone keeping score, it appears that insurers are crushing policyholders who sued for business income lost because of COVID-19 restrictions.
As of Tuesday, insurers had won 147 motions for dismal or summary judgment in state and federal courts, according to a litigation tracker maintained by the University of Pennsylvania’s Carey Law School. Policyholders had won only 34 cases in early rounds less than one out of five.
But if you look closer, glaring outliers emerge.
In Ohio, insurers had won only two of 11 motions to dismiss or for summary judgment, as of Tuesday. In one case, Henderson Road Restaurant Systems et al v. Zurich American Insurance Co., a federal judge actually granted summary judgment in favor of the policyholder.
More thoughts on the state of American democracy In part two of this series, five Penn experts offer their insights on public health, election legitimacy, student loan debt, and more. Rioters outside the U.S. Capitol steps on Jan. 6, 2020, before the mob stormed the building. The weeks between the presidential election and the riot tested the strength of America’s democracy. (Image: Elvert Barnes/Flickr)
It’s been just over a month since a violent mob stormed the U.S. Capitol, the culmination of unprecedented tactics to overturn the results of the 2020 presidential election. The weeks between the election and the Jan. 6 riot tested the solidity of American democracy. Did it hold up? Will it continue to?
State COVID-19 Liability Shields Create Insurance Challenges By
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Primary area of interest Law360 (February 4, 2021, 6:26 PM EST)
Insurance Law360
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The COVID-19 pandemic has created evolving uncertainties for insurers providing coverage throughout the U.S. As the pandemic spread throughout the country, insurers faced an influx of first-party claims related to decreased business revenue and mandated business closures.
As of the publication of this article, state and federal courts had issued 165 decisions on motions to dismiss or summary judgment filed in first-party COVID-19 business interruption cases, according to a database maintained by the University of Pennsylvania s Carey Law School. Of those, 135 granted dismissal of policyholders complaints.[1]
While courts have provided some clarity in first-party claims, the potential outcomes in third-party liability claims related to COVID-19 remain uncertain. In addition, recent legislation meant to curb liability lawsuits may make the handling of these third-party claims more complicated.