Business Interruption Insurance Claims

MLC can help you pursue your claim

Are you one of the thousands of UK business owners who has tried to claim against a business interruption insurance policy, only to be refused a payout by your insurer?

Business Interruption Insurance is a type of insurance that is designed to cover businesses from any financial loss as a result of a disaster. Normally, this disaster may present itself in the form of a flood or fire, but the insurance can cover much more than this.

Building insurance will cover business owners in the event of physical damage, whereas business interruption covers any potential financial loss as a result of having to be closed. If a business owner has a successful claim, the insurer will aim to put the business in the same financial position had the disruption not occurred.

Most policies will cover business interruption as a result of damaged caused to the business premises as a result of fire, storms or flooding, but some policies will also include disruption as a result of:

  • Customers unable to get into the premises
  • Cyber risks – downtime on computers
  • Specified or notifiable diseases – providing cover for losses caused by infectious disease
  • Non-damage denial of access
  • Loss of attraction

Successful claimants can be compensated for any pre-tax losses in profit they suffer, and any increased costs of running the business as a result of the disruption.

This type of insurance is taken out by businesses with a physical location and the insurance is not mandatory by law – it is usually an add-on for most business insurance policies, or included in a comprehensive coverq package.

MLC can support you

The COVID-19 pandemic has caused UK businesses a massive amount of stress and disruption since lockdown began in March 2020. Premises closures have resulted in substantial financial losses for companies up and down the country, with many businesses hanging on by a thread and some having to unfortunately close for good.

Many business owners have tried to claim for these coronavirus-related losses under their business interruption insurance policies, only to be told that their policy does not cover COVID-19 issues.

There has been widespread concern, however, at the lack of clarity surrounding these decisions by insurance firms, with many claimants believing they are perfectly entitled to receive compensation under their policy.

The Financial Conduct Authority (FCA) has sought legal clarity from insurers for businesses claiming against their business interruption insurance. In September 2020, the FCA won a vital test case in the High Court, which now means insurers are having to pay out on a multitude of these claims which were originally refused. The Claim Experts team of commercial solicitors can assist you and your business if you believe you have been wrongly refused a payout by your insurer.

MLC Case Review Process

Whether it is related to your money, your property or your business, our experts can assist you with your legal matter. Discover if you have a claim today by completing our no-obligation case review.
Complete the case audit

Complete the case audit

Starting your claim is simple. Get a no-obligation case audit from MLC.
Your claim gets reviewed

Your claim gets reviewed

Our specialist panel of legal advisors reviews your case and will give advice.
Your claim begins

Your claim begins

If our specialist advisors confirm your case has merits, your claim begins.

How can you claim business interruption compensation?

Claiming business interruption compensation through business insurance could be the only hope of survival for many UK business owners. Having said this, the wording of the insurance policies is often very complex and sometimes unique to each business.

The OK Group team can offer assistance in claiming against your business interruption policy, and can guide you through the process. Our panel of solicitors can assist you with:

  • Informing you if you have a viable claim
  • Recommending your next steps if you do
  • Challenging your insurer if they refuse to pay

If you believe you are entitled to business interruption compensation and your insurer isn’t paying out, our experts are able to go through your policy carefully to determine whether you may be able to claim.