On January 15th 2021 the UK Supreme Court handed down judgement in the test case brought by the Financial Conduct Authority (FCA) on behalf of UK based small and medium enterprises (SMEs). The Supreme Court unanimously dismissed the insurers’ appeals, which serves as positive news for many policyholders looking to advance claims for business interruption losses suffered as a result of the COVID-19 pandemic.
Undoubtedly the main thrust of this action by the FCA was to protect those businesses effectively shut down by Government such as hospitality, non-essential retail trades and the like. We continue to look at whether these new rulings will affect any of the policies we have arranged on behalf of our clients.
For full details on the Supreme Court judgement download the press release via the button below.