Paul White (Partner-Los Angeles) was questioned for “Coronavirus Coverage Tied to Physical Damage Definition: Experts,” an article that appeared in the March 16, 2020, edition of Business Insurance. Open questions about coverage surrounding the coronavirus may well turn on the definition of physical damage and whether the virus or its presence meets that threshold, legal experts say. According to Paul, “While standard policy language may limit coverage for disease and pandemic, there also are specialized commercial property policies that may include ‘communicable and infectious diseases’ as a designated peril.” Such policies are most common in industries such as hospitality or health care, he added. They are often written on a manuscript or bespoke basis for individual policyholders and may not require direct physical loss to property in some circumstances; however, it also is common for the policies to contain limitations or exclusions regarding specific diseases, viruses, bacteria or pandemics.

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