https://insidethemagic.net/2022/02/r...insurers-rwb1/
Movie Theater Chain Sues Insurers For “Hundreds of Millions” In COVID Losses
IN MOVIES & TV
Posted on February 2, 2022 by Rebekah Barton1 Comment
Credit: ABC
Regal Cinemas, a large movie theater chain that has “6,885 screens in 514 theatres in 42 states along with American Samoa, the District of Columbia, Guam and Saipan”, has sued its insurers for “hundreds of millions” of dollars in losses throughout the ongoing COVID-19 pandemic.
Credit: ABC
Per a recent NBC 4 Los Angeles article about the situation:
The report went on to share details from Regal Cinemas’ lawsuit, which states, “Regal has sustained hundreds of millions of dollars in financial losses since March 2020 as a result of the COVID-19 pandemic, including lost ticket sales, concession sales and extra expenses.”
The theater chain has also alleged that they have continued to sustain losses due to staffing shortages as the highly contagious Omicron variant has surged throughout the United States.
Credit: Disney/AMC
According to the lawsuit, the insurers denied Regal’s claims in both September and October 2020, and their “refusal to cover Regal’s losses lacks any justifiable basis.”
Regal is not the only theater chain to suffer as a result of the ongoing COVID-19 pandemic. During lockdown in 2020 and into 2021, theater giants like AMC and Cinemark also struggled, with AMC even selling stock to stay afloat.
Credit: Disney/AMC
And, sadly, many locally owned movie theaters throughout the United States were even forced to close their doors permanently.
Now, however, it seems the tide may be turning for theaters, particularly when it comes to major blockbusters like Marvel Cinematic Universe films. When Tom Holland and Benedict Cumberbatch’s Spider-Man: No Way Home debuted on December 17, 2021, it was the “best opening night of all time” for Cinemark.
Credit: Marvel Studios/Sony Pictures
AMC Theaters Chairman and CEO Adam Aron also expressed excitement regarding moviegoers’ return to theaters for the latest MCU project:
As for Regal Cinemas’ lawsuit, no ruling has been issued at the time of publication.
Movie Theater Chain Sues Insurers For “Hundreds of Millions” In COVID Losses
IN MOVIES & TV
Posted on February 2, 2022 by Rebekah Barton1 Comment
Credit: ABC
Regal Cinemas, a large movie theater chain that has “6,885 screens in 514 theatres in 42 states along with American Samoa, the District of Columbia, Guam and Saipan”, has sued its insurers for “hundreds of millions” of dollars in losses throughout the ongoing COVID-19 pandemic.
Credit: ABC
Per a recent NBC 4 Los Angeles article about the situation:
Regal Cinemas is suing three insurers for allegedly failing to honor their policy obligations to compensate the theater chain for business losses suffered during coronavirus-related, government-ordered shutdowns.
The named defendants in the Los Angeles Superior Court suit brought Thursday are Allianz Global Risks US Insurance Co., Liberty Mutual Fire Insurance Co. and Zurich American Insurance Co.
Credit: ABC
Related: Cinemark Movie Theaters to Launch Four-Phase Reopening This Month!
The named defendants in the Los Angeles Superior Court suit brought Thursday are Allianz Global Risks US Insurance Co., Liberty Mutual Fire Insurance Co. and Zurich American Insurance Co.
Credit: ABC
Related: Cinemark Movie Theaters to Launch Four-Phase Reopening This Month!
The report went on to share details from Regal Cinemas’ lawsuit, which states, “Regal has sustained hundreds of millions of dollars in financial losses since March 2020 as a result of the COVID-19 pandemic, including lost ticket sales, concession sales and extra expenses.”
The theater chain has also alleged that they have continued to sustain losses due to staffing shortages as the highly contagious Omicron variant has surged throughout the United States.
Credit: Disney/AMC
According to the lawsuit, the insurers denied Regal’s claims in both September and October 2020, and their “refusal to cover Regal’s losses lacks any justifiable basis.”
Regal is not the only theater chain to suffer as a result of the ongoing COVID-19 pandemic. During lockdown in 2020 and into 2021, theater giants like AMC and Cinemark also struggled, with AMC even selling stock to stay afloat.
Credit: Disney/AMC
And, sadly, many locally owned movie theaters throughout the United States were even forced to close their doors permanently.
Now, however, it seems the tide may be turning for theaters, particularly when it comes to major blockbusters like Marvel Cinematic Universe films. When Tom Holland and Benedict Cumberbatch’s Spider-Man: No Way Home debuted on December 17, 2021, it was the “best opening night of all time” for Cinemark.
Credit: Marvel Studios/Sony Pictures
AMC Theaters Chairman and CEO Adam Aron also expressed excitement regarding moviegoers’ return to theaters for the latest MCU project:
“Needless to say, we are ever so happy to see a record-setting number of people returning to the cinema to capture the magic offered at AMC movie theatres. Yesterday for its opening night [Thursday showings], we hosted some 1.1 million guests to watch Spider-Man: No Way Home at our U.S. theatres. Our congratulations go to Sony Pictures for this wonderfully successful new movie.”
Credit: Sony Pictures/Marvel Studios
Related: CEO Says Disney Must Put “Stake in the Ground” With Movie Releases
Credit: Sony Pictures/Marvel Studios
Related: CEO Says Disney Must Put “Stake in the Ground” With Movie Releases
As for Regal Cinemas’ lawsuit, no ruling has been issued at the time of publication.
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