The Houston Rockets are suing their insurance company for denial of its claim on a $400 million business-interruption policy related to COVID-19 losses.
Tilman Fertitta’s Rocket Ball and Clutch City Sports & Entertainment, the holding company for the team and the Toyota Center, paid more than $700,000 in annual premiums on a policy worth approximately $400 million, according to the report.
The Rockets became the first NBA team publicly known to file a lawsuit to recover COVID-19 losses.
Wimbledon and the NCAA had their insurance policies triggered once COVID-19 became a pandemic.
Fertitta purchased the Rockets in 2017 for $2.2 billion. The franchise is currently valued at approximately $2.4 billion.