News

Aviva pays Covid-19 BI claims under broker wordings despite ‘not covering pandemics’

By 2020-08-06T15:45:00

coronavirus, money (4)

Amanda Blanc confirms that the insurance industry has ‘some work to do’ in order to bounce back from the reputational onslaught resulting from the FCA’s test case on business interruption wordings

Aviva’s UK chief executive for general insurance Colm Holmes confirmed today that despite the fact “95% of Aviva’s policies do not cover pandemics”, the insurer is still having to pay out for Covid-19-related business interruption (BI) claims that have been insured using wordings written by brokers.

He told Insurance Times: “From Aviva’s perspective, I think we were very clear from the outset: 95% of Aviva’s policies do not cover pandemics.

“From our perspective, it was a reasonably straightforward process. But there is a portion of our policies that were written under broker wordings that were impacted and some of those policies, we’ve actually paid claims on. Others will be subject to determination as part of the FCA case. Even though we’re not a party to that case, the results will impact on some of those policies, those broker wordings.”

Read more…

You need to register to continue reading the rest of this article and more for free.
(If you’re already registered, please sign in here.)

REGISTER NOW FOR FREE

We’re glad you’ve chosen Insurance Times as your source for industry news and hope you’ve been enjoying reading articles from our award-winning team of journalists.

Gain access to more of our exclusive, breaking stories, interviews and news analysis as it happens. Registering is quick, easy, free, and will also have the additional benefits:

  • Uncover Secrets: Dive deep with exclusive annual reports, fueled by expert insights.
  • News That Matters: Award-winning coverage & analysis, delivered to your inbox.
  • Stay Ahead, Your Way: Daily or weekly - choose your news rhythm.
  • Own Your Learning: Curate your knowledge with a personalized library.

Register for FREE now and Keep Reading

Stay on top of the insurance game with our subscription! Get unlimited access to over 80,000 articles, in-depth analysis, exclusive reports by industry experts, and our Five-Star rating system to compare companies and find the best fit for your business needs - view subscription options.