COVID-19: FCA Test Case
We understand that many of our customers are facing extraordinary challenges at this difficult time. We value our customers and are committed to supporting them through these challenges by meeting their insurance needs and dealing promptly and fairly with claims.
Holders of policies which provide non-damage business interruption cover and who wish to make a claim in relation to losses suffered as a result of the COVID-19 pandemic should note that the UK Financial Conduct Authority has been pursuing a test case against a number of insurers (not Allied World) to clarify how certain of their non-damage business interruption insurance policies respond. Whilst we are not a party to the test case, its final outcome may affect some of our own policies.
A judgment was handed down by the High Court on 15 September 2020. The judgment is likely to be the subject of an appeal. We therefore expect it will be necessary for the appeals process to conclude before a final outcome is reached.
Where the outcome of the test case may affect how our policies respond to claims, we may await the final outcome of the test case before confirming policy responses. Customers with affected claims will be contacted individually as appropriate. However, in the meantime, customers are welcome to discuss any concerns with us directly or via their brokers.
For further information in relation to the FCA’s test case, including a copy of the High Court’s judgment, details of the implications of the test case and its likely timescale, please use the Important Links listed to the right.