• Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
  • FREE workshop: Preparing contractors for Autumn : Weds 29th Sep at 7.15pm. More details here.

Small businesses win Covid insurance payouts after UK supreme court victory

Collapse
X
  •  
  • Filter
  • Time
  • Show
Clear All
new posts

    Small businesses win Covid insurance payouts after UK supreme court victory

    "FCA said it would work with insurers to make sure they ‘move quickly’ to pay claims of more than £1bn

    Hundreds of thousands of small businesses that were forced to close during the Covid-19 pandemic are expected to receive payouts on insurance claims worth more than £1bn after what was described as a “historic victory” at the supreme court.

    The Financial Conduct Authority, which brought the test case, said it would now be working with insurers to ensure they “move quickly” to pay claims to businesses, some of which have been struggling to stay afloat.

    Judges threw out the appeals from six insurance companies and largely supported the arguments made by the FCA and a policyholder action group – prompting the law firm Reed Smith to declare that this was “a catastrophic outcome” for insurers.

    The FCA has previously said that 370,000 policyholders may be affected by the outcome of the test case, and originally estimated the value of claims affected at about £1.2bn. However, some analysts have said several billion pounds could be at stake."

    Small businesses win Covid insurance payouts after UK supreme court victory | Insurance industry | The Guardian

    Only a billion quid?

    That's like what, just over 2 grand per policyholder

    And wait for another Supreme Court decision that will reduce payouts by the amount of Govt support that was provided to same businesses.

    Best part - renewal prices for insurance will go up massively, far in excess of payments whilst ToS will be changed to reduce chance of claim (ie: "pre-existing known situation").

    #2
    Insurance shock!

    The Supreme Court says the robbing bastards have to pay out some money instead of just taking it in.

    The Horror! Oh The Horror!
    When the fun stops, STOP.

    Comment


      #3
      Very similar to the Icelandic volcano when all the travel insurance companies simply refused to pay out since it would be too expensive.

      Comment


        #4
        They have already changed the wording on insurance policies to remove "outbreaks of disease". I can't get public liability cover with my old insurer thanks to Covid as they stopped those policies.
        Last edited by SueEllen; 16 January 2021, 17:26.
        "You’re just a bad memory who doesn’t know when to go away" JR

        Comment


          #5
          To be fair, insurance is not designed for paying millions of claims at once. They only anticipate 10% to claim.
          Vote Corbyn ! Save this country !

          Comment


            #6
            Originally posted by fullyautomatix View Post
            To be fair, insurance is not designed for paying out claims.
            FTFY

            Comment


              #7
              Originally posted by AtW View Post
              FTFY


              I agree. I have only claimed on insurance once and that was a travel insurance. It took more than a year to get payment they tried every trick to not pay.
              Vote Corbyn ! Save this country !

              Comment


                #8
                When I claimed (which was later paid out by the guilty party's insurance company) for my car they've asked me to show them receipt from when I bought it - 4 years ago, and I had it insured with them for 4 years, they only cared if it's mine when they had to pay out FFS!

                Comment


                  #9
                  There was a chap on Moneybox at lunch time who'd had the temerity to ask Admiral if his policy covered his front gate being damaged in a storm.

                  It didn't.

                  And they put his renewal up by £300 for asking, having treated the phone call as a claim despite it not leading to anything.

                  Not to mention the scumbags who charged me £75 when I sold my house before the policy had terminated.

                  If I'd kept my mouth shut it wouldn't have cost anything.

                  A lesson learned there then.

                  Tell the robbing scum nothing.
                  When the fun stops, STOP.

                  Comment


                    #10
                    I raised a complaint to a regulator about Admiral years ago as they auto-renewed all their policies but said they may not tell you.

                    The regulator lawyer was very helpful and got Admiral to "agree" to change all their policies so they had to send a letter or email out first.
                    "You’re just a bad memory who doesn’t know when to go away" JR

                    Comment

                    Working...
                    X