According to a Sept. 6 report from Reuters, thousands of cases have been filed against all-risk commercial property insurers across the U.S. Most federal and state courts have sided with insurers in previous COVID-19-related business interruption cases, ruling that the virus does not cause any “direct physical loss or damage to property,” according to the University of Pennsylvania’s COVID litigation tracker.
Baylor’s case is believed to be the first to result in a plaintiff’s verdict.
In an email to Reuters, lead lawyer Murray Folger said that “we had a courageous state court judge who decided that the question of whether the virus causes direct physical loss or damage to property is a fact issue for the jury.”
The Harris County District Court jury deliberated for less than a day before returning its verdict for the medical school.
Lloyd’s lead attorney did not respond to Reuters’ request for comment.
Baylor College of Medicine filed suit in September 2020 against Lloyd’s underwriters and two other insurers. The insurance policies provided $100 million in coverage.
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