The Calgary Flames are suing its insurers for $125 million due to losses the organization suffered because of COVID-19.
The NHL paused its season on March 12, 2020, because of the coronavirus pandemic.
But the team has suffered more because of Canadian government mandates preventing fans from attending games, ESPN reported.
According to The Toronto Star, the club filed its claim with the Calgary Court of Queen’s Bench, alleging "massive losses" and having to purchase insurance coverage through a group of six companies.
In their filing, the team said those companies concluded that "viruses do not cause physical loss or damage," hence why they haven't received any payout for damages caused by COVID-19, ESPN reported.
Those companies include Westport Insurance Corp., Royal and Sun Alliance Insurance Company of Canada, Liberty Mutual Insurance Company, Aviva Insurance Company of Canada, Northbridge General Insurance Corp., and Special Program Group Canada Inc., operating as Can-Sure Underwriting, the Calgary Herald reported.
The Flames are not the first team to file a claim. Last June, 20 NHL teams filed a lawsuit seeking damages over $1 billion from their insurers over pandemic losses, ESPN reported.
