UK Court of Appeal Rules in Favour of Businesses in COVID-19 Business Interruption Insurance Case
RLK Solicitors welcome landmark ruling benefiting UK businesses
In a significant victory for UK businesses affected by the COVID-19 pandemic, the Court of Appeal has ruled in favour of policyholders in the much-anticipated case surrounding business interruption (BI) insurance claims. The Court of Appeal have confirmed RLK were correct all along and the arguments we have had with insurance companies for 4 years have proven to be right.
This landmark decision confirms that many businesses are entitled to claim for losses sustained due to the pandemic under their existing insurance policies, offering critical financial relief during challenging times.
The case revolved around whether certain insurance policy wordings covered losses caused by the interruption of business due to the pandemic lockdowns and restrictions.
The Court of Appeal’s ruling clarifies ambiguities in the insurance policies, ruling that the majority of claimants are indeed entitled to compensation for losses sustained during the pandemic. This decision not only strengthens the position of the thousands of businesses that have been awaiting clarity on their claims but also sets a significant legal precedent for future BI insurance disputes.
RLK’s legal team, led by Chris Guy, said. “This ruling provides much-needed certainty to businesses that have faced unprecedented challenges due to the pandemic. We are delighted by the outcome, which will help many of our clients businesses recover and move forward.”
The case has drawn national attention, given the potential for significant financial implications across multiple sectors. The Court of Appeal’s decision is expected to lead to the resolution of thousands of outstanding claims, potentially injecting billions back into the UK economy.
Chris and the team will continue to champion the rights of businesses and policyholders, ensuring that insurance companies meet their obligations under the terms of their policies, securing fair outcomes for their clients.
If you or your business suffered losses due to a rejected claim, then contact Chris to discuss your options, to ensure you submit your appeal before the deadline.
About RLK
RLK is a leading UK law with a proven track record of success, RLK represents a diverse range of clients, from SMEs to large corporations, helping them navigate complex legal challenges and secure favourable outcomes.
