Retail Decision Reference 2023-0241

• Case Outcome: Rejected
• Year: 2023
• Date: 08 November 2023
• Reference: 2023-0241
• Subject Matter: Retail
• Finantial Sector: Insurance
• Conducts Complained Of: Rejection of claim,Poor wording/ambiguity of policy

Decision Ref:

2023-0241

Sector:

Insurance

Product / Service:

Retail

Conduct(s) complained of:

Rejection of claim

Poor wording/ambiguity of policy

Outcome:

Rejected

LEGALLY BINDING DECISION OF THE FINANCIAL SERVICES AND PENSIONS OMBUDSMAN

The Complainant, a limited company trading as a clothing retail store, hereinafter ‘the

Complainant Company’, held an Insurance Policy with the Provider. The complaint

concerns the Provider’s assessment of the Complainant Company’s claim for business

interruption losses. The policy period in which this complaint falls, is from 25 September

2019 to 24 September 2020, on which date the Complainant Company ended the cover.

The Complainant Company’s Case

The Complainant Company, by way of its Representative, notified the Provider by email on

15 April 2020 of a claim for business interruption losses sustained as a result of the

temporary closure of its business premises from 24 March 2020, due to measures imposed

by the Government to help curb the spread of COVID-19.

The Complainant Company, in making its claim, relied upon the following Public Authority

Clause in the ‘Property – business interruption (specialist retail)’ section of the Insurance

Policy Wording:

“We will insure you for your financial losses and any other items specified in the

schedule, resulting solely and directly from an interruption to your business caused

by: …

Public authority 7. your inability to use the business premises due to

restrictions imposed by a public authority during the

period of insurance following: …