The Star Entertainment Group has lodged an appeal against a Federal Court decision that found insurers including Chubb did not have to cover a business interruption claim for losses resulting from COVID-19 restrictions.

An appeal has been filed, ahead of tomorrow’s deadline, a company spokesman confirmed to insuranceNEWS.com.au today, while declining further comment.

Chief Justice James Allsop on August 5 dismissed The Star’s case, finding the pandemic was not a catastrophe for the purposes of the policy and there had been no physical damage.

The casino group, an ASX 200 company, had argued its civil authority extension provided cover for financial losses sustained given the inability to use its property and accept customers as a result of government actions.

The other respondents in The Star lawsuit are AIG Australia, XL Insurance, Zurich Australian Insurance, Allianz Australia, Swiss Re International, Assicurazioni Generali, Liberty Mutual, HDI Global, Allied World Assurance and PICC Property and Casualty.

Lawyers have said the progress of The Star’s case will be closely watched given other major companies would have similar civil authority extensions in their policy wordings.

The Insurance Council of Australia second test case, which focusses on nine SME disputes, will get underway in the Federal Court on Monday.

One of the policies in that case includes a civil authority wording that refers to “a conflagration or other catastrophe”, but it is written in different terms to The Star policy.