With the latest resurgence of Covid 19 due to the Delta variant and the accompanying changes in policy direction from the CDC we wanted to reaffirm how liability coverage as provided by the ICRMT will respond in the event of Covid related suits.
The ICRMT does not have an exclusion for Virus or Bacteria (COVID) under the primary liability policies. We understand that other programs/carriers in Illinois do have this exclusion and are informing their insureds that they will 100% not have coverage for any COVID related claims. ICRMT will look at each claim individually and determine coverage. After legal review, the ICRMT would not base a decision to deny coverage solely because a district made the decision whether to require masks or not, or to implement other recommendations pertaining to COVID-19.
However, the ICRMT may have the right to issue a coverage denial on other grounds including but not limited to, the failure to adhere to the Governor’s Executive Orders, legislative enactments or other regulations mandated by public health authorities at the CDC, Illinois Department of Public Health, or local health departments. We are making the distinction between suggestions and recommendations vs requirements and mandates. If wearing a mask is suggested but non required or mandated by governmental authorities, coverage would not be impacted. Failure to comply with a requirement or mandate would result in a coverage denial as the policy does exclude willful and wonton actions that go against federal, state, or local laws and regulations.