We have written to all of our clients in respect of recent Court findings on Business Interruption Insurance.
The Central Bank of Ireland has set out its expectations of how regulated insurance firms should treat their customers in light of the significant economic disruption caused to clients by the Corona Virus/COVID-19 outbreak.
“Insurers must put forward consumer-focused solutions on policy wording and claims.
While most insurance policies are clear, if there is a doubt about the meaning of a term, the interpretation most favourable to the consumer should prevail”
While the Court ruling in the recent case is a positive outcome for the particular successful claimant, it had very special circumstances involved, as described in the national newspapers. This case may still be subject to appeal, and It does not automatically mean that other Insurers will be influenced by that decision, because in each policy wording and company, case circumstance will be different
Important Please Note
It is all Insurers' Current position that their policy wording was never intended to cover Business Interruption Loss arising from COVID-19 - and Individual claims presented to date have been denied by insurers on this understanding.
With the arrival of the newly named Covid -19,some Insurers, for the removal of any doubt and with effect from each client next renewal date, specifically strengthened their wordings by excluding all covers arising from the that virus.
It is therefore important to note that terms, conditions, extensions, exclusions and specific named Covid-19 exclusion dates differ across all insurer product wordings.
Claim Notifications can only be assessed based on the contract wordings applicable for a specific client on specific dates.
Action
Since Insurers have been requested by the Central Bank to interpret their wording, where a doubt exists on cover as “most favourable to the consumer” we are providing you with an online claim submission as below.
It is difficult to anticipate each insurers objections in advance, nevertheless, we suggest that you prepare an initial brief notification of your Intention to claim for 2020 financial losses, setting out a provisional statement in respect of the headings provided for in our on-line initial notification below.
- We are not confirming that your claim will be successful.
- We believe that it is advisable to prepare and forward initial brief details of your loss, so we can present it to your Insurers and seek their response on your behalf
- Following completion of the form we will advise each client further in respect of any possible options available to you.
On receipt of the various responses from the Insurers concerned, we shall advise you our clients immediately
Notice Dated: 10th February 2021