Impossible’ due to COVID-19 production delays –

Deadly stunts and a series of unforeseen expenses caused by the Covid-19 pandemic have forced Paramount Pictures and its financial partners to spend a whopping $290 million budget. Mission: Impossible – Dead Accounts Part One. That’s tens of millions more than they expected to spend on the Tom Cruise-led project. Paramount will recover this portion in an agreement with the federal insurer, which will settle the claim by refusing to honor the terms of the Chubb unit’s insurance policy.

According to a court document filed on Wednesday, the two sides reached an interim agreement to resolve claims related to COVID-19 delays and production costs. The terms of the resolution were not disclosed. It is expected to end on August 5th.

Paramount sued the feds in California court last year, seeking policy coverage that would pay more than $100 million in damages for production delays. The studio claimed the policy had to be activated when unidentified cast members contracted COVID-19 and orders from civil authorities halted filming.

Under the remote coverage clause, Federal agreed to pay “damages” that Paramount would “directly and exclusively withhold.”[s] in connection with the insurance process on the ground that any insured person is necessarily prevented by death, injury, illness or kidnapping… The policy defined “loss” as any additional expense incurred “in excess of the cost of completion of the insured production”. It should also insure against losses “resulting from a crisis event that…results in an immediate interruption of production”.

The federal government paid only $5 million. He argued that only a portion of the damage claimed by Paramount is covered by the policy, arguing that the additional costs arising from the pandemic are only covered by the policy’s civil authorities’ $1 million coverage. He also stated that multiple stops and moves constitute a single loss, even though they took place at different locations.

“In particular, the feds said there was no evidence that the cast and crew members could not continue their roles despite being infected with SARS-CoV-2 and posing an indisputable risk to others involved in the production,” reads the report. complaint.

In a counter-motion to Paramount’s claims, Federal said the “politics speaks for itself” and rejected the characterization of Paramount’s coverage.

An agreement was reached before the mediation deadline. The trial was supposed to start in September.

Disney also sued its insurance company, Fireman’s Fund, last year, alleging that civil authorities provoked the order to stop production.

Mission: Impossible – Dead Accounts Part One He went through several filming stops, going from Venice, Rome, back to Venice, UK, Abu Dhabi and then back to the UK. Its release is scheduled for July 2023.

Chubb declined to comment. Lawyers representing Paramount and Chubb did not respond to requests for comment.