Business Interruption – proving the presence of coronavirus

March 2021


The FCA has published Finalised Guidance to help policyholders prove the presence of Covid-19 in a particular area, based on the High Court’s judgment and declarations in its business interruption (BI) test case. The Guidance, which was originally consulted on in December last year, is scheduled to apply until 31 January 2022, by which time the FCA expects that issues relating to proving the presence of Covid-19 will have been resolved.

This guidance is the FCA’s view and it does not prevent policyholders using other sources of evidence or putting forward their own arguments regarding the sources of evidence in this guidance. It also sets out the FCA’s expectations for insurers and insurance intermediaries in relation to policyholders seeking to prove the presence of Covid-19 when making claims under BI policies.

Meanwhile, the regulator has published claims data from insurers showing interim/initial payments made for 2,030 unsettled claims amount to £192,084,302. The aggregate value of the payments made for the 8,177 claims where final settlements have been agreed and paid is £279,823,468.


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