The Philadelphia Eagles have become the latest major sports team to sue their insurance company for COVID-19 related business interruptions.
The National Football League team sued FM Global Unit Factory Mutual Insurance Co. Philadelphia last week, according to the complaint in Philadelphia Eagles Ltd. Partnership with Factory Mutual Insurance Co.
The lawsuits follow recent lawsuits filed by the Sacramento Kings basketball team, including against FM Global, and another filed by the Los Angeles Lakers basketball team against a Chubb Ltd. unit.
The Eagles say they have "suffered millions of dollars" in lost revenue from ticket and trade sales, including other sources of income, due to the pandemic.
Factory Mutual informed the football team that it would only consider paying a sublimit of up to $ 1
The Eagles claim that it is entitled to use its coverage under the provisions on loss of property damage in its policy. The complaint states that “during the course of the illness, courts have determined that the presence of a dangerous substance on or on a property, including the airspace inside buildings, constitutes damage to property.
"Many courts have also argued that the closure of property due to imminent risk of physical loss or injury or danger to residents constitutes physical loss of property," it states.
FM Global said in a statement that it “values the long-term relationships we have with our policyholders and we are proud to be a leader in the claims services industry. It is unfortunate when legal issues arise because we strongly believe that our insurances are clear in terms of coverage.
Last year, the Houston Rockets also sued FM Global for COVID-19-related coverage.
More insurance and risk management news about the coronavirus crisis here .