Star Entertainment Group loses another lawsuit against insurers

The company was seeking AU$611,000 from insurers for spoiled food during Covid-19 lockdowns in 2020.

Australia.- Star Entertainment Group has lost its legal claim for about AU$611,000 from insurers for losses of spoiled food and beverages due to Covid-19 shutdowns in 2020. According to The Mercury, a federal court rejected Star’s claim, noting that it was hindered by a $750,000 deductible in the company’s insurance policy. 

The court’s decision on the damage comes after a federal court earlier dismissed Star’s broader claims against its insurer, Chubb Insurance, for losses resulting from the shutdown. Star appealed, and its case was part of a series of business interruption test cases before the full bench of the Federal Court in November. The federal court’s full bench delayed a decision in the case.

Last June, a group of nine pubs in Melbourne demanded insurers payout for the economic impact of the Covid-19 pandemic. The group claimed $26m due to the impact of Covid-19 countermeasures, arguing that between June 30, 2019, and June 30, 2020, a policy to cover events like Covid-19 was provided by their insurers.