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29 Jul 2021

Part 1 of the ACT summer series looks at the rapid expansion of Cytech in the UK.

29 Jul 2021

Social media is a busy world, and the past week has been no different. Maybe* have pulled together some of the top, recent headlines. Read on to discover the Olympiad emojis and live stream...

29 Jul 2021

The IRC are seeking urgent input from members impacted by the rule changes  on 1st Julyto provide us with valuable information we can present to Government.

23 Jul 2021

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22 Jul 2021

During the Maybe* monthly masterclass you'll discover each month which bike shops have had the most social media engagement and why - catch up on last week's now.

21 Jul 2021

£2 billion will be invested over five years with the aim that half of all journeys in towns and cities will be cycled or walked by 2030, benefitting the UK's high streets in many ways

21 Jul 2021

The report announces a new National High Streets Day to celebrate clean streets, the extension of pavement licence measures for a further 12 months and a £150m Community Ownership Fund to...

15 Jul 2021

This week Maybe* are introducing you to Wool Warehouse, a crafting havenfor which product is king. Here the owners share their social media tips so that you can learn from their product-led...

15 Jul 2021

Face coverings are no longer required by law but states that government expects and recommends that people continue to wear a face covering in crowed, enclosed spaces. Businesses who want to...

14 Jul 2021

The 12-week programme, which combines online sessions with face-to-face learning, is 90% funded by the Government and has been designed to allowparticipants to complete it alongside full-time...

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Insurers pay tens of thousands to small businesses for Covid lockdown losses

Posted on in Business News , Cycles News

Following today's Supreme Court ruling tens of thousands of small businesses will receive insurance payouts covering losses from the first national lockdown.

After the announcement of the first lockdown in March, the Treasury Select Committee, led by Mel Stride MP, challenged the Association of British Insurers (ABI) regarding the support offered to business via their members, with specific regard to business interruption insurance.

Many small businesses made claims through business interruption insurance policies for loss of earnings when they had to close. But many insurers refused to pay, arguing only the most specialist policies had cover for such unprecedented restrictions.

The Committee sought to clarify where business insurance support had ceased to be offered or policy terms had changed and exclusions added, since the pandemic began.

Government appeared to expect that business insurance policies would provide funding support for independent retailers through the provision of cover for coronavirus related costs after it added COVID-19 to its list of notifiable diseases.

 

A united stance amongst Trade Organisations

On March 31st the Independent Retailers Confederation (IRC), led by the ACT and ActSmart, called upon Government and insurance brokers to challenge policies where there is ambiguity.

The IRC is a well-established organisation representing over 100,000 independent retailers throughout the UK, it brings together like-minded trade associations with interests in the small and independent retail sector.

Information was collated through the trade organisations that make up the IRC from retailers that had made a claim for business interruption which was denied by the insurer. This information was collated and put towards lobbying the government on this issue.

The case has been ongoing for many months, with the Supreme Court today ruling in favour of small firms receiving payments from business interruption insurance policies.

For some businesses it could provide a lifeline, allowing them to trade beyond the coronavirus crisis. The ruling could cost the insurance sector hundreds of millions of pounds.

 

Insurers to pay out on many, but not all, policies

It is important to note that while this is certainly a victory for many small businesses, this does not now mean that all insurers are required to start paying out. The insurance payout is entirely dependent on the clarity of the policy wording. The case put forward to the Supreme Court was against a small number of insurers and specific policy wordings.

Whilst the case evaluated was a ‘test' case, there is now hope that other insurers with the same/similar wordings will feel that they should also follow the ruling- for both good conscience and to avoid individual litigation.

Long-standing ACT partner and insurance specialists Butterworth Spengler have made the decision to re-visit any claims made by clients where this ruling may now have an impact. They would also like to highlight that their claims team is available to consider any questions from clients.

 

 

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