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 | Jul 21, 2021
Proposal to give Calif. hospitals more time for earthquake retrofits stirs controversy
State hospital association says 2030 deadline should be extended.
Codes and Standards | Jul 20, 2021
New York, New Jersey legislatures may revamp bidding rules to promote low-carbon concrete
Contractors would have to certify that their concrete is in compliance.
Codes and Standards | Jul 19, 2021
Lack of information on carbon emissions challenges construction industry
Reports recommends whole-life carbon assessments on building projects.
Codes and Standards | Jul 19, 2021
Florida condo collapse spurs increased scrutiny on inspections, regulations
Insurers demand proof of current inspections.
Codes and Standards | Jul 15, 2021
Three drywall code-referenced publications have been updated
Include guidance on fire resistance, sound control, application, and finishing.
Codes and Standards | Jul 14, 2021
Biden’s infrastructure proposal includes massive investment in school buildings
‘Once in a lifetime opportunity’ to upgrade HVAC and other key systems.
Codes and Standards | Jul 13, 2021
Reluctance to fund maintenance on older condos is a serious problem
Owner associations defer needed work, putting properties at risk.
Codes and Standards | Jul 12, 2021
Regulations on hydrofluorocarbons reduce roof insulation options
Canada, some U.S. states ban HFC blowing agents used in closed-cell foam.
Codes and Standards | Jul 8, 2021
New York City shuts down 322 construction sites for unsafe conditions
Action comes as inspectors visit more than 2,100 sites.
Codes and Standards | Jul 7, 2021
Bechtel, Nautilus partner on sustainable, high-performance data centers
Facilities would use 70% less power for cooling, eliminate consumption of drinking water.