No Coverage for Abuse

by Arkansas Business staff  on Monday, Dec. 24, 2001 12:00 am  

It seems Kidsports II Family Fun & Fitness can't buy a break.

Its insurance carrier, Capitol Indemnity Corp. of Madison, Wis., wants nothing to do with the Little Rock center, which is at the heart of several civil lawsuits over sexual abuse by one of its former employees.

Capitol has filed a lawsuit in U.S. District Court in Little Rock asking for a judge to say it doesn't have an obligation to defend or pay for any of Kidsports' claims arising out of the sexual abuse claims.

So far, eight parents have filed civil lawsuits against Denver Walker, the owner of Kidsports, and the company. Former gym coach Ronnie Lewis pleaded guilty last week to five counts of rape and five counts of first-degree sexual abuse.

The civil lawsuits say the center knew about the allegations of abuse but failed to act.

Capitol said its policy doesn't cover sexual abuse and shouldn't have to defend the center.

Walker didn't return a call to comment.



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