Limited exposure for insurers, says Airmic boss
Airmic chief executive John Hurrell says insurers have limited exposure to swine flu as economists predict an epidemic could cost the UK £50bn.
Hurrell said there was “very little cover” in the market, but added that insurers were still offering insurance for employers’ liability and extensions for event cancellation contracts.
He said the lack of historical data and threat of widespread exposure had scared off insurers.
Ernst and Young’s ITEM Club, which uses Treasury data to make predictions, said swine flu could set back the UK’s recovery from the economic downturn.
Earlier this month, Health Secretary Andy Burnham said there could be 100,000 cases of swine flu every day by the end of August.
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