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Disney sued by insurer | Insurance Business

The House of Mouse is being sued by an insurer, which maintains that it is unable to pay for the “second wave” of claims on delayed film and TV productions.

Fireman’s Fund Insurance Company filed a case against Disney in Los Angeles County Superior Court. The Los Angeles Times reported that the lawsuit disputed the entertainment giant’s claim for $10 million in insurance coverage for production delays.

Fireman’s Fund Insurance Company is a US subsidiary of Allianz.

In the complaint, the insurer explained that it is not disputing insurance claims made by Disney during the “first wave” of COVID-19 shutdowns in March 2020. Rather, the insurer noted that it should not have to cover for the “second wave” claims that happened after film and TV shooting was allowed to resume in California and other regions.

The insurer also explained in its complaint that Disney is not entitled to “cast coverage” due to the nature of certain “second wave” cases. Fireman’s Fund Insurance gave an example case, wherein a director is exposed to a “non-essential” worker who tested positive for COVID-19, which caused the director to quarantine for 14 days.

According to the insurer, expenses resulting from “covered cast/crewmembers, who were otherwise healthy, being required to quarantine due to exposure to persons who tested positive and/or became infected” are not covered under cast coverage.

In addition to the claims above, Fireman’s Fund Insurance also disputed claims concerning civil authority and imminent peril provisions, as well as claims resulting from the extended production halt by governments during the 2020-21 holiday season following a spike in COVID-19 cases.


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