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ARTICLE · 16 OCTOBER 2020

Business Interruption Insurance Litigation

Rollits LLP
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Final clarity still awaited in Business Interruption Insurance litigation as insurers may yet appeal to the Supreme Court

United KingdomInsurance
Andrew Digwood
Andrew Digwood

Final clarity still awaited in Business Interruption Insurance litigation as insurers may yet appeal to the Supreme Court

A test case brought to the High Court earlier this year by the Financial Conduct Authority in support of a number of Policyholder Action Groups representing small and medium-sized businesses, which was intended to establish the extent of cover provided to businesses under 21 different sample Business Interruption Insurance policies in light of the Covid19 crisis could yet be heading to the Supreme Court in a "leapfrog" appeal directly from the High Court's decision.

The High Court ruled that many (though not all) of the 21 sample clauses through their "disease" and "denial of access" provisions for "non-damage" loss DID provide cover - although much turned on the interpretation in detail of the precise wording of the clauses in question, and the particular impacts suffered by insured businesses. The Court also held that the pandemic and the

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