The Superior Court for the State of Washington denied the insurer's motion to dismiss the University of Washington's claim for property damage due to COVID-19. The Board of Regents of the University of Washington v. Employers Ins. Co. of Wausau, No. 22-2-15472-1 SEA (Amended Order Denying Defendant's CR 12 (B) (6) Motion to Dismiss, Jan. 4, 2024).

The parties disputed whether policies issued to University of Washington (UW) covered losses when the COVID-19 pandemic caused UW to close or limit access to its healthcare facilities and athletic facilities in 2020 and thereafter. The insurer argued that Washington courts and other state and federal courts rejected such claims because litigants such as UW could not demonstrate any "direct and physical loss or damage" to property. UW countered that its First Amended Complaint (FAC) alleged direct and physical loss and damage to property, with extensive citations to scientific studies to support its allegations.