Judge:  Insured Fails To Allege ‘Direct Loss’ Due To COVID-19 Stay-At-Home Orders

Mealey's (December 8, 2020, 9:47 AM EST) -- KANSAS CITY, Kan.— A federal judge in Kansas on Dec. 3 granted a property insurer’s motion to dismiss with prejudice a wholesale apparel distributor insured’s putative class action seeking coverage for its losses arising from the novel coronavirus and subsequent stay-at-home orders, finding that the insured fails to allege any direct physical loss or damage or that the orders prohibited access to its property (Promotional Headwear International v. The Cincinnati Insurance Company, No. 20-cv-2211-JAR-GEB, D. Kan.). ...