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ARTICLE · 29 SEPTEMBER 2025

New UK Arbitration Act 2025: Potential Impact On Insurance Contracts

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The Arbitration Act 2025 (the Act) came into force on 1 August 2025 and will apply to arbitration proceedings commenced on or after that date.

United KingdomLitigation, Mediation & Arbitration
Sarah Turpin
Sarah Turpin
Ian Meredith
Ian Meredith
Peter R. Morton
Peter R. Morton

The Arbitration Act 2025 (the Act) came into force on 1 August 2025 and will apply to arbitration proceedings commenced on or after that date. As reported in the December 2024 (40th Edition) of Arbitration World E-magazine, the aim of the new Act is to supplement the existing framework, enshrined in the Arbitration Act 1996, by making various changes intended to ensure that the United Kingdom continues to be a leading destination for domestic and international commercial arbitrations. In the insurance context, there are important changes likely to impact policyholders involved in insurance coverage disputes arbitrated in England, Wales or Northern Ireland.

Why does it matter?

Many insurance policies provide for disputes between insureds and insurers, including in relation to the scope, applicability and quantum of the insurance cover, to be resolved by London-seated arbitration. This includes policies providing cover for risks arising in other jurisdictions. In

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