Insurer Asks 11th Circ. To Drop Rooms To Go's Virus Loss Bid

By Daphne Zhang (May 13, 2021, 5:07 PM EDT) -- Aspen Specialty Insurance Co. has urged the Eleventh Circuit to uphold a trial court's ruling that Rooms to Go is not entitled to coverage for its pandemic-related losses, asserting that the lower court properly applied Florida law in throwing out the case.

In a brief filed Wednesday, Aspen said RTG Furniture Corp. failed to allege COVID-19 caused physical loss or damage to its property, as required for coverage to apply. A federal district court correctly held that the virus can be removed by routine cleaning and does not physically alter the property, the carrier said.

"The notion that the virus causes...

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