PARLIAMENTARY EARLY DAY MOTION
Insurance claims and coronavirus (20 April 2020)

This House expresses its concern that the Financial Conduct Authority (FCA) has advised insurers that they see no reason to intervene in cases where business interruption claims resulting from the covid-19 virus are not covered; notes that the fine print of many business interruption policies do not include provision for pandemics; further notes the reputational damage likely to be suffered by the insurance sector if payments are withheld; notes that many leading insurers have nevertheless cancelled their dividends; and calls on the Government to instruct all insurers to apply such dividends towards the settlement of insurance claims resulting from the covid-19 virus, and to negotiate with regulators and insurers as to how the balance will be paid to policyholders.

Sponsored by:
Jonathan Edwards (Independent)