he paid $825 million<\/a> to acquire Circus Circus from MGM Resorts International.<\/p>\nIndustry Group Claims Losses Are ‘Uninsurable’<\/h2>\n
Within weeks of the coronavirus pandemic becoming part of everyday life in the US, hundreds of businesses of varying sizes, including private and public companies and even the Simon Wiesenthal Center, a human rights group, announced suits against an array of insurance carriers for failure to make good on policies.<\/p>\n
In April, the \u00a0American Property Casualty Insurance Association, a trade association comprised of companies like AIG, said losses from enterprises with 100 or fewer workers reached $431 billion, more than the $71 billion in annual premiums the group collects from those businesses. The trade association said losses suffered at the hands of a pandemic are \u201cuninsurable.\u201d<\/strong><\/p>\n\n
Circus Circus scoffs at that notion. In the court document, counsel for the plaintiff state the gaming operator has an all-risks policy with AIG, protecting against \u201call risks of direct physical loss or damage to Insured Property from a Covered Cause of Loss.\u201d<\/p>\n<\/div>\n
The attorneys assert the term \u201cCovered Cause of Loss\u201d is defined as \u201cperil or other type of loss, not otherwise excluded under this policy.\u201d<\/p>\n
Details, Details, Details<\/h2>\n
Circus Circus claims AIG is trying to exploit a pollutants or contaminants clause in the policy. But the casino operator says that applies to chemicals or smoke, not a communicable disease like COVID-19.<\/p>\n
In fact, counsel for the gaming firm claims AIG could have added a communicable disease component to the policy, but the insurance company opted not to do that.<\/strong><\/p>\nThe suit doesn’t indicate the monetary damages Circus Circus<\/a> is seeking from AIG. But the policy is supposed to cover $500 million in physical property damage and $96.77 million in lost income.<\/p>\n","protected":false},"excerpt":{"rendered":"Circus Circus LV, LP — a holding company for the Las Vegas Strip venue of the same name — is suing American International Group (AIG). It joins a parade of companies pursuing litigation against insurance providers refusing to cover losses stemming from the coronavirus pandemic. In a suit filed in the US District Court for […]<\/p>\n","protected":false},"author":46,"featured_media":141004,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[60],"tags":[],"acf":[],"yoast_head":"\n
Circus Circus Taking AIG to Court Over COVID-19 Coverage<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n