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Bed bugs’ bite also carries liability risk: Lloyd’s


April 6, 2011   by Canadian Underwriter


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Bed bugs, generally seen as a growing health concern, also pose liability risks, warns Lloyd’s.
The US federal appellate court awarded $372,000 in punitive damages in 2003 – 37 times the compensatory award in the case – to a couple who had been bitten by bed bugs while staying at a chronically infested hotel in Chicago, Lloyd’s said in its report, ‘Battle of the Bedbugs.’
An employee working at the Fox News offices in New York City filed a workers compensation claim due to bed bug bites at work, in addition to filing a premises liability lawsuit again the building’s owner and management company for negligence in rectifying the infestation, it continues.
“In view of the growing epidemic, all businesses should review their property and liability insurances and also think about how they would respond to bedbug related problems to do with staff or clients,” Lloyd’s suggested.
In Toronto, Toronto Public Health has noted a dramatic increase in infestation reports, from 46 in 2003 to more than 1,500 in 2009.
Ontario’s provincial government recently announced a $5 million investment to support the fight against bed bugs.
Ontario’s 36 public health units will be able to apply for funding to support bed bug-related programs that emphasize coordination with other local services, education and awareness and/or provide supports to vulnerable populations.


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