Fusion Insurance Services has been hit with a legal action for £185,000 over non-payment of an insurance claim relating to a ram-raid.

In January 2003, burglars attempted the raid on Forward Logistics' premises.

Although no goods were stolen, Forward Logistics claimed that its premises were left insecure until May 2003.

In a claim filed at the High Court, Forward Logistics alleged that Fusion failed to pay a claim for loss of profits totalling £170,000, despite the loss falling "within the scope of the business interruption section of the policy".

A spokesman for Fusion said: "We are clearly disappointed that it is felt legal action is necessary, having settled the original claim for damage caused by the ram- raid at over £120,000.

"We are currently in discussions with our advisers and therefore it would be entirely inappropriate for us to comment further at this stage."