Our February 2023 post “The Commercial Division Rejects Yet Another Insured’s Claim for Coverage for Covid-Related Revenues Losses” left readers wondering whether the New York Court of Appeals would uphold the First Department’s determination that COVID-19 does not qualify as “direct physical loss” for insurance purposes. One year later, the Court of Appeals provided its answer in Consolidated Restaurant Operations, Inc. v Westport Insurance Corp., No. 7, 2024 WL 628047 (N.Y. Feb. 15, 2024), affirming the First Department’s decision.
