AECOM is suing Zurich American Insurance alleging that the carrier’s “all-risk” policies should include claims for losses due to the impact of COVID-19.
The design firm alleges that Zurich refused to pay coronavirus-related claims when such coverage was not specifically excluded in AECOM's “all-risk” property insurance policies. AECOM claims its COVID-19 damages run in the millions of dollars.
According to AECOM’s suit, the insurance industry has a standard virus and bacteria exclusion form, but Zurich did not include it in AECOM policies. Some of the losses AECOM claims Zurich will not cover are for installation of physical barriers to isolate aerosolized droplets produced by those who are infected by the disease.
AECOM also said in the court filing that Zurich knew or should have known that many courts have determined that the presence of a hazardous substance in a property, including within its airspace, is considered property damage. Further, there may be direct physical loss to the property even without any physical damage. The lawsuit also noted that AECOM has offices, operations, and projects around the world where more than 500 AECOM employees have tested positive for COVID-19.
Related Stories
Codes and Standards | Jan 25, 2019
AEC professionals should push for net zero projects
Educate and lead clients to more sustainable choices, says LEED fellow.
Codes and Standards | Jan 24, 2019
OSHA unaffected by federal government shutdown
Agency fully funded for first nine months of 2019.
Codes and Standards | Jan 23, 2019
Hackers can easily take control of construction cranes
Potential for serious harm is real, say researchers.
Codes and Standards | Jan 22, 2019
Initiative will introduce open-source software for commercial and public building retrofits
Energy analysis tool will identify energy efficiency opportunities.
Codes and Standards | Jan 18, 2019
Texas city sues developer over changes in $1 billion mixed-use project
Revised plan eliminated 8-acre lagoon, trolley, show fountain, and reduced retail space.
Codes and Standards | Jan 17, 2019
First resilience benchmarks for U.S. communities released
Provides way to evaluate current state of resilience and guidance for areas of improvement.
Codes and Standards | Jan 16, 2019
California mass timber building competition kicks off January 15
Competition will award $500,000 in grants to teams who design innovative buildings.
Codes and Standards | Jan 15, 2019
Hazard mitigation provisions in codes save lives and protect property
New NIBS study finds that adopting 2018 Intl. Codes generate $11 benefit for every $1 invested.
Codes and Standards | Jan 10, 2019
Ontario building first to achieve zero-carbon designation by Canada GBC
Geothermal heating, living wall among notable features.
Codes and Standards | Jan 9, 2019
Policymakers need to act to alleviate affordable housing crunch
Moody’s economist says costs including mortgage rates worsening situation.