Insurers accused of delaying Covid payouts for business interruption policies

Roger Franklin, our Head of Insurance Litigation recently spoke to The Times on the continuing dispute over Covid-19-related business interruption claims.

Insurance firms have been accused of “dragging their heels” over Covid-19 payouts, despite a Supreme Court judgment that is expected to pave the way for payments to tens of thousands of companies.

Law firms representing claimants who believe they have a valid claim on their business interruption insurance policies say there is a fear that companies could go to the wall before they receive a settlement.

Thousands of businesses have tried to claim for losses caused by the pandemic, but many were told their policies did not cover the damage. That led to a public outcry and prompted the Financial Conduct Authority to bring a test case to clarify the situation…

…Roger Franklin, head of insurance litigation at the law firm Edwin Coe, said uncertainties remained after the judgment, and that disagreements over insurers’ interpretation of it could result in further litigation…

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