The High Court has handed down judgement in the COVID-19 Business Interruption insurance test case brought by the FCA on behalf of policyholders.
The case considered 21 sample wordings from eight insurers and although different conclusions were reached by the Court relating to each wording, the Court did find in favour of the FCA on many of the key issues.
All parties will need to digest the judgment and the case may well go to appeal, which will take some time. In the meantime insurers have been instructed to contact brokers and policyholders with affected claims within the next seven days.
Although there may not be a quick resolution to this, the judgement will bring welcome news to many policyholders depending on its relevance to the wording of their policies.