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Travelers Says Liability Policy Doesn’t Cover P.F. Chang’s Data Breach

Posted on October 10, 2014 by Dissent

Here we go again. Matthew Sturdevant reports:

The Travelers Indemnity Co. of Connecticut is asking a federal court to rule that it is not responsible for legal expenses and losses stemming from a data breach at P.F. Chang’s Chinese Bistro.

On Oct. 2, the insurer filed a lawsuit in U.S. District Court in Connecticut, seeking a declaration that it does not have to defend or indemnify the Chinese restaurant chain in class-action lawsuits brought by customers after data breaches jeopardized their financial information.

Travelers sold commercial general liability policies to P.F. Chang’s for 2013 and 2014, but attorneys for the insurer say in the lawsuit that the policies don’t cover the data breaches. Travelers says the liability policies apply to bodily injury or property damage, which does not include loss of, or damage to, “electronic media and records.”

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