BDO comments on Supreme Court judgment on business interruption insurance

Commenting on the Supreme Court’s judgment on business interruption insurance, BDO partner Richard Cameron-Williams said:

“The Supreme Court judgment is a complete validation of the hard work that has been undertaken by the FCA and the legal representatives of the policyholders in challenging the coverage denials from insurers. Although there are likely to be nuances in the detail, the judgment rejected insurers arguments regarding pre-trigger trends – which may have substantially reduced the quantum of many claims – and broadened the scope for businesses which required an “inability to use” to trigger their policy.

“While this gives finality to the framework for interpreting the cover afforded by the policies, the industry still faces a huge challenge in working through the vast numbers of claims, and it’s critical now that those businesses which are relying on the payments from their policies for survival, receive those payouts as soon as practically possible.”