Barrasso Usdin achieves COVID-19 Coverage Win in New Jersey

(Client: Firm Insurance Client)

In Pure Hair Salon LLC v. Hiscox Insurance Co. Inc., a New Jersey appellate panel sided with Hiscox and unanimously rejected a hair salon's COVID-19 coverage appeal, finding that a virus exclusion clearly prevents coverage. No. A-3617-20 (N.J. Super. Ct. App. Div. Mar. 10, 2023). The Court also rejected Pure Hair’s coverage claim because it did not allege “physical loss or damage” and failed to establish civil authority coverage because Pure Hair did not show their premises was closed because of damage at nearby property. Finally, the Court also rejected Pure Hair’s regulatory estoppel argument, finding that the ISO submission clearly stated that there was no coverage for virus-related claims, thus, Hiscox did not make any misrepresentations to regulators.

This decision is the latest in a string of favorable results obtained by Barrasso Usdin for Hiscox. The firm handles COVID-19 business interruption claims across the country, litigating cases in California, Georgia, Illinois, Louisiana, New Jersey, Ohio, and elsewhere.  The firm has extensive experience representing insurers in all phases of coverage, bad-faith, and complex litigation.

Barrasso Usdin litigators Judy Barrasso and Janelle Sharer handled this case and many others for Hiscox.