Central Bank must issue guidance for insurers who are refusing to compensate businesses during COVID-19 crisis – Troy

Published on: 24 March 2020

Fianna Fáil Spokesperson on Business, Enterprise and Innovation, Robert Troy is calling on the Central Bank to issue guidance to insurance companies that are refusing to honour policies with business disruption and infectious diseases clauses.

His call comes as he released information in relation to how some SMEs are being treated by insurers since this crisis began.

Deputy Troy said, “Working with a number of industry bodies over the weekend, I gathered data from almost 500 SMEs that are closed due to the Government’s order or on public health grounds.

“The common response from all respondents was that they were receiving no support from their insurance provider whatsoever. Worryingly, almost 60% of the respondents said they would not survive an extended closure period without insurance compensation.

“What also became evident was that they were receiving different information from their insurers to why they were not being covered.

“Information such as;

The Government didn’t legally force you to close they simply asked, and you obliged
An employee must contract the disease on your premises to be covered
COVID-19 is not listed as an infectious disease
We don’t cover pandemics

“The mixed messages and lack of responsibility taken by insurers is disgraceful. The Central Bank must step in now and issue guidance on the matter,” he concluded.

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