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The Financial Conduct Authority (FCA) has today (1 June) provided an update on progress on its court action on business interruption (BI) insurance policies, in advance of a High Court hearing scheduled for the end of July.

 

Please click here to view the statement.

 

Alpha comment: we are glad to see that the FCA are moving to arrive at a swift resolution and are also encouraged to read the below statement issued by Hiscox today:

 

Hiscox, the international speciality insurer, welcomes today’s announcement from the Financial Conduct Authority in the UK regarding the proposed legal test case in relation to business interruption wording in UK property insurance policies.

As set out in previous announcements, Hiscox recognises these are extremely difficult times for businesses and is committed to seeking expedited resolution of any contract dispute. Hiscox has agreed to assist the FCA by participating alongside other insurers in the test case in order to provide certainty for businesses and brokers on the application of policies as quickly as possible.

As described in the company’s Q1 Trading Statement on 5 May, Hiscox is actively settling claims for event cancellation and abandonment, media and entertainment and other segments including travel. There is no change to any of the estimates or guidance provided in that update, and the Group’s capital position remains robust.