What business interruption coverage appeal to U.K. Supreme Court could look like
October 6, 2020 by Greg MeckbachBritish insurers are not taking yes for an answer from the High Court of England and Wales, which recently ruled that insuring business interruption “following” a notifiable disease, within a certain distance of the client, does in fact mean that…
How business interruption verdict impacts trends clauses
September 30, 2020 by Greg MeckbachIf your clients are looking for business interruption coverage arising from the pandemic, a key question is whether there is a “trends clause” in their policy. “In policies with trends clauses, the calculation of loss of business income must take…
Does COVID lockdown constitute ‘prevention or hindrance of access’ under BI?
September 25, 2020 by Greg MeckbachClients who lost business income during the pandemic might not get coverage even if they have coverage for “prevention or hindrance of access,” but this depends on exactly how the policies are worded. The High Court of England and Wales…
How Canadian courts could be influenced by U.K. business interruption test case
September 23, 2020 by Greg MeckbachA recent British court ruling could be good news for Canadian clients who bought insurance covering business interruption from an occurrence of a notifiable disease within a specified distance of their premises, and who had to close due to the…
Will the U.K. decision in a test BI case matter to Canada? Intact and ratings agencies weigh in.
September 17, 2020 by Greg MeckbachThe verdict in the British Financial Conduct Authority’s business interruption test case could have an impact outside of Britain, one credit rating agency warns, but Canada’s largest carrier appears to be largely unaffected. The vast majority of Intact Financial Corp.’s…
Mixed result in British court ruling in business interruption coverage dispute
September 15, 2020 by Greg MeckbachIf a client has business interruption coverage “following” a notifiable disease within a certain distance, while another has coverage for BI “in consequence” of the same disease, one of those clients could be covered for its COVID-19 closure while the…
How clients may argue BI covers pandemic if no physical damage occurs
September 4, 2020 by Greg MeckbachSome clients seeking business interruption coverage arising from the COVID-19 pandemic are looking to the courts for a “generous” interpretation of policy wording, a Canadian lawyer says. “In the context of property damage claims related to the novel coronavirus, many…
Insurers adding pandemic exclusions in commercial policies that go beyond just BI
September 2, 2020 by Greg MeckbachMany insurers that did not start adding pandemic exclusions this past July may have to do so in January, a Winnipeg-based executive with commercial brokerage Gallagher reports. “The majority of insurers – or all insurers – are adding specific wording…
MGAs finding it harder to place this kind of commercial coverage
September 1, 2020 by Greg MeckbachIf you are finding it difficult to place business interruption insurance for restaurants, hotels and event venues, you aren’t alone. Aurora Underwriting Services Inc., an Alberta-based managing general agent and Lloyd’s coverholder, is still placing insurance for restaurants, company owner…
Why UK insurers say coverage for disease within 25 miles does not apply to COVID business interruption
August 25, 2020 by Greg MeckbachIf a client has business interruption coverage for occurrence of a disease within 25 miles of the property that causes a local government authority to place restrictions on the use of premises, this would not cover widespread lockdowns in case…
Why insurance regulator says this ‘notifiable contagious disease’ clause covers BI in pandemic
August 21, 2020 by Greg MeckbachWhether business interruption coverage for a notifiable human infectious or contagious disease within a certain distance from the client’s premises actually insures closure due to COVID-19 was a hotly contested issue in a British trial that recently wrapped up. The…
How the UK pandemic business interruption test case could play out
August 13, 2020 by Greg MeckbachThe industry will likely learn next month the outcome of a business interruption coverage test case arising from the COVID-19 pandemic, but the verdict is likely to be appealed, a Bermuda insurance CEO suggests. The British Financial Conduct Authority filed…