A parliamentary motion sponsored by three MP's has called for cancelled insurer dividends to be used to settle Covid-19 business interruption claims.
House of Commons – Early Day Motion wording tabled 21st April 2020
Insurance claims and coronavirus
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.
The Early Day Motion has three sponsors:
- Jonathan Edwards is the Plaid Cymru MP for Carmarthen East and Dinefwr
- Allan Dorans MP is the Scottish National Party MP for Ayr, Carrick and Cumnock
- Jim Shannon is the Democratic Unionist Party MP for Strangford