We recently shared with you the ruling of the legal case brought about by the Financial Conduct Authority (FCA) on a number of named insurers, who had policies with specific wordings on business interruption with references to infectious diseases and pandemics. The judgement made has potentially wider implications to polices beyond the scope of those that were specifically included in the legal case.

We have spoken at length to PXL, our insurance Trusted Partner, about the case and the potential wider implications. They have confirmed that a significant number of insurance providers are now reviewing their formal positions with regards to business interruption insurance policies, that include references to infectious diseases and pandemics, including those with different wordings to the test cases. This review is ongoing and is not expected to conclude within the next few days. In light of this development we would now recommend, that if you haven’t already, to formally register a claim with your insurance provider at this stage. They should provide you with full details of the claim process and support you with completing your claim.

For BII Members that have taken out policies with PXL they have already registered a claim with their insurers on your behalf. You will now be contacted directly by the insurers' appointed loss adjuster when the claims process has been agreed, this is not expected for at least another week. The PXL team have offered their full support in helping complete the necessary claim forms.

If you are not satisfied with the support offered by your insurer, their handling of your claim or the ultimate decision on your claim, then you are able to refer the case to the Financial Ombudsman. This is a free and easy-to-use service that settles complaints between customers and businesses that provide financial services.

There is clearly still no guarantee that claims will be successful, however, the ruling has opened the opportunity for a further market wide review of policies.

Your BII Team

BII is the trading name of the British Institute of Innkeeping a private company limited by guarantee and registered in England as a charity. Company number 1601185.
Charity number 283945.

Registered office Infor House, 1 Lakeside Road, Farnborough, GU146XP.

British Institute of Innkeeping, Infor House, 1 Lakeside Road, Farnborough, GU14 6XP, United Kingdom