Disney Insurer Sues Company over COVID Claims
Fireman’s Fund Insurance sued the Walt Disney Company recently. The suit states that certain COVID-19 claims should not need to be paid out.
During the early months of the pandemic, the insurer paid off “first wave claims.” The company does not have an issue with paying. The lawsuit stems from “second wave claims” and “holiday hiatus” claims, which occurred far later in the pandemic response.
“An example of a typical Second Wave Claim would be a non-essential crew member testing positive for COVID-19. Production would be able to continue without this person but for the fact that he or she has had face-to-face contact with the director. Having been exposed, the director is required to quarantine for 14 days, causing production to shut down, even if he or she never tests positive or becomes ill,” according to an article published by The Wrap.
As the disagreement continues, Disney now holds $10 million worth of claims that fall under this umbrella.
The “holiday hiatus” claims do not fall under Fireman’s responsibilities, according to the lawsuit. Fireman’s alleges this is due to the fact that the closures were not mandated but rather “urged.” Though most productions close for two weeks during the holidays, Disney chose to add an additional one to two weeks due to the suggestion of public health authorities in filming locations.
“Public health authorities in Los Angeles, Atlanta and London expressed ‘elevated concern’ during the 2020-2021 holidays about then-spiking COVID-19 levels,” according to the article.
If Fireman’s Fund wins the suit, Disney will need to cover the claims that Fireman’s argues are not covered under their current policies. The legal proceeding are just beginning in the cas. Stay tuned to MickeyBlog for more information regarding details of the settlement of the suits.