Based on data gathered by the FCA from insurers, it has emerged that 10,207 of the 21,140 BI policyholders who have had claims accepted have received at least an interim payment.
Earlier this week, the FCA announced the publication of the first set of data collected from insurers on the progress of non-damage business interruption insurance claims affected by the Supreme Court ruling. This followed the regulator’s recent publication of a list of policies affected by the business interruption insurance test case.
The FCA’s data is available for download (in Excel format) by clicking this link.
It includes data on insurers’ progress with BI claims and complaints on non-damage BI policies affected by the test case. The data gathering exercise is part of the FCA’s ongoing review of the status of affected BI claims and insurers’ consistently in handling them.
Headings under which data has been recorded in the FCA’s spreadsheet are as follows:
- BI claims where the insurer has received all the information required to enable them to calculate the total value of the claim
- BI claims for Covid-19 related loss that have been accepted
- BI claims where the insurer’s decision as to whether there is a valid claim is pending
- unsettled BI claims where an interim or initial payment has been made to the policyholder or their representative
- BI claims where an offer of final settlement has been made, accepted by the policyholder, and paid in full.
The FCA noted that there are some inconsistencies in how insurers have reported and identified policies they believe should respond to the Covid-19 pandemic, and says it intends to continue working with insurers to improve consistency in both reporting and claims handling.
The aggregate value of the interim or initial payments reported as having been made across 2,030 unsettled claims by 3 March (or slightly earlier in some cases) was £192,084,302. The aggregate value of the payments made for the 8,177 claims where final settlements had been agreed and paid was £279,823,468.
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