The insured purchased a 50,000 square foot building on October 25, 2019. From that time, he was cleaning, moving in BPP, having meetings, planning the use of his space for his agency which services the developmentally disabled. He also was obtaining quotes for work to be done. The electric and gas were on, but the building was winterized, and water/sewer was shut off.

Upon COIVID-19 taking its grip in Ohio, the government shut down many businesses, his being one in March, 2020. On April 28, still during the shutdown, the insured noticed that theft of property had taken place: Copper pipes ripped out, air conditioner condensers taken, etc.

The insurance company was notified, and a claim filed. The insurance company has not made a final decision, but is pointing to CP 00 10 Vacancy clause for the insured to be aware of.

My questions that surround this are:

  1. Is cleaning, planning, getting quotes, moving in BPP, having meetings, etc. enough to satisfy the building being not vacant prior to COVID?
  2. As the building is an old recreation center, how does one demonstrate that 31% or more of the building was being used, when so much of the space is gymnasium?
  3. CP 00 10 states that "Buildings under construction or renovation are not considered vacant". Would the process of cleaning, planning out space, getting quotes, moving in BPP, having meetings, etc. construe renovation?

As this is the "condensed" version, your insight is appreciated.

Ohio Subscriber

Given the facts surrounding this claim, we would not consider this building to be vacant; but rather undergoing renovation. Merriam-Webster defines "renovate" as to restore to a former better state (as by cleaning, repairing, or rebuilding). Accordingly, this building falls within the exception for buildings under construction or renovation are not considered vacant.

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