Walt Disney Company’s Insurer Disputes COVID Exposure Claims

When COVID-19 breached the U.S. shores, every business with in-person interaction had to reassess how to proceed without risking disease exposure. This included the entertainment industry.

Walt Disney Co., the $122 billion entertainment conglomerate, was forced to delay and shutdown film production for a number of film and TV projects in March 2020.

Later in the year, production started anew, but as the virus raged across the country in waves, shutdowns and delays continued.

Disney turned to insurer Fireman’s Fund Insurance Co. for coverage. In the claim, Disney requested up to $10 million to recoup losses from production shutdowns during the pandemic.

Fireman’s Fund denied the claim.

It stated that while it did not dispute claims related to the ‘first wave’ of COVID-19 shutdowns ordered by state and local governments in March 2020, it did believe claims arising from the ‘second wave’ of shutdowns were not under its policy.