Coverage for business lost as a result of COVID-19 or Executive Order 2020- 9; Business income coverage; “Direct physical loss of or damage to”; Whether “loss of business income [was] sustained . . . by the perils insured against damaging or destroying . . . building(s) . . . .”; “Damage”, “injury”, & “destroy”; Civil authority coverage; Reliance on Southlanes Bowl, Inc v Lumbermen’s Mut Ins Co, Sloan v Phoenix of Hartford Ins Co, & Allen Park Theatre Co, Inc v Michigan Millers Mut Ins Co

The court held that the trial court did not err in concluding plaintiff-Gourmet Deli was “not entitled to business income or civil authority coverage under its insurance policy from the business it lost as a result of COVID-19, or the Governor’s executive orders regarding COVID-19.” Thus, it affirmed the trial court’s grant of summary disposition to defendant-Farm Bureau. The case arose from Gourmet’s closure in 3/20. As to business income coverage, “Gourmet failed to submit evidence that: (a) a physical or structural change is not required under the policy, (b) COVID-19 causes property damage from its impact on humans, or (c) COVID-19 was ever present in Gourmet’s space.” Thus, Gourmet could not claim business income coverage. Also, as to civil authority coverage, because “there was no physical loss or damage to the areas surrounding Gourmet’s space from COVID-19, nor was Gourmet prohibited from accessing its space by Executive Order 2020- 9 and subsequent orders, it is not entitled to civil authority coverage.”