Casino cannot claim for Covid losses

A native Indian casino in Connecticut has failed in its bid to claim from insurance for business losses taken during the pandemic.

The Mohegan Sun casino in Uncasville made the claim with Factory Mutual Insurance Co. The Mohegan tribe had claimed under its commercial property policy for millions of dollars in business losses suffered as a result of the shutdown for about two weeks in 2020.

The tribe had sued FMI when it refused to pay out and claimed breach of contract and bad faith for refusing to cover the losses. But the state Superior Court in Hartford last week dismissed the suit, saying that the tribe had failed to show that the virus caused any physical loss or damage to the property as required by the commercial policy.

Other casinos in the US have also failed to win claims for business interruption losses.