Business interruption for policyholders
Since the inception of the pandemic, many businesses across the UK have been impacted financially, with those severely impacted, having to come to complete business closure. The Government, in its attempt to aid businesses, provided various support, such as grants and the Bounce Back loan scheme, which came to an end on 31 March 2021. Even if a business claimed such relief, it does not prevent them from making a claim on their Business Interruption Insurance (“BII”)
Further guidance for policyholders under their BII continues to shed light in this area.
The below provides an overview for policyholders in navigating their respective business policies.
Covid calculator
The FCA has published their long-awaited covid calculator, which will be used to assist policyholders to navigate their respective policy documents. The calculator will help prove the presence of Covid-19 in their concerned policy area. The three areas of guidance are:
- Reported cases
- Estimated cases
- Geographical distribution methodology
What does this mean?
In summary, it still remains for policyholders to identify how the established principles and guidance from the FCA apply to their individual business circumstances.
Policyholders need to review their BII policy wording in full and establish whether they qualify. The policyholder also needs to calculate their liability and evaluate the loss they have suffered accurately.
If you remain unsure, you can always get in touch with us, where we can navigate and assist you in processing a claim.
