Insurers Skirt Covid Lockdown Claim in Ohio High Court Order (1)

Insurers aren’t on the hook for thousands of Ohio claims for “business interruption” compensation due to the state’s Covid-19 pandemic lockdowns, the state Supreme Court ruled Monday.

The term “direct loss” that triggers coverage in many commercial insurance policies requires that a business have a physical loss or damage. Ohio Gov. Mike DeWine’s (R) multi-week forced business shutdowns don’t count, said Justice Jennifer Brunner, writing for the court’s majority.

For a successful claim, “there must be loss or damage to Covered Property that is physical in nature,” she wrote. “Such loss or damage does not include a loss of the ...