Insurance ruling provides “hope” for businesses disrupted by coronavirus
15 September 2020
On 1 May 2020 the Financial Conduct Authority (FCA) announced that it intended ‘to seek legal clarity on business interruption insurance to resolve doubt for businesses who are facing uncertainty on their claims.’
The High Court has today provided its ruling. It found in favour of the majority of the arguments put forward by the FCA on behalf of policyholders.
Commenting on the ruling, Rt Hon. Mel Stride MP, Chair of the Treasury Committee, said:
“This ruling will provide hope for many businesses that have been put through the mill whilst seeking insurance pay-outs.
“For some though, the devil will be in the detail of this judgement. Others may be caught up in any appeals. It is to the credit of the FCA that they have initiated and driven this approach.
“It’s now vital that all those who should be paid receive these payments as soon as possible. The Treasury Committee will continue to monitor developments closely and press for further progress.”
Image: Parliamentary copyright