Caesars Entertainment Inc. sued a group of insurance carriers, accusing them of declining to cover an estimated loss of more than $2 billion because of the COVID-19 pandemic, the Wall Street Journal reported. The casino and hotel company alleges in the lawsuit that it had purchased property insurance coverage to protect against “all risk of physical loss or damage” and resulting business interruption. Most of the policies don’t exclude loss or damage caused by a virus or pandemic, Caesars said in the lawsuit filed Friday in the Eighth Judicial District Court of Clark County, Nev. The company said that it has paid more than $25 million in premiums to secure the all-risk policy portfolio providing more than $3.4 billion in coverage limits. Caesars, which was formed as a result of Eldorado Resort Inc.’s combination with Caesars Entertainment Corp. last year, swung to a loss of $1.76 billion in 2020. The suit is the latest case of a company trying to recover lost business during the pandemic through insurance. The insurers have had the upper hand so far. Of the more than 200 rulings in suits pitting businesses against insurers, more than 80% have been in favor of insurers, according to a COVID-19 litigation-tracking effort at the University of Pennsylvania Carey Law School.
