Business interruption insurance with Axa question

[James Frederick]

Hello, I posted a while back concerning my insurance and got some really useful info, thanks.

Since then I have submitted a claim with my insurance company Axa for business interruption and have spoken to an adjuster who is managing that claim. He told me that although my business has been affected ( no business income ) since March last year I can only claim for the first three months after a first case of Covid was discovered within 25 miles of my workshop and that was March. He says the claim will be for losses during April, May. June. I was surprised and shocked that my insurance will only cover me for 3 months . Does this seem normal to you?
Thanks for any advice on this.
James

 

[Mr D]

Does the wording of the policy agree with what he is saying?

 

[ImranR]

Hi James. A lot of the AXA policies seem to be limited to 3 months. Best to check your wording which will confirm it.

You might find it more beneficial to argue the indemnity period or start date of your claim to be when the lock down started as appose to the first date the virus was detected in your area.

 

[Frank the Insurance guy]

Hi James,

I've seen quite a few policies that reduce the limit to 3 months within the policy wording where the claim relates to a disease.

Check the policy wording - I suspect it has the 3 month limit!

I suggest you also check the trigger for the start date of the indemnity - does the policy say the start of the 3 months is from when COVID-19 was first seen in your area, or is it from the date when your business was first affected?

NOTE: Most policies that cover Covid-19 provide cover from when it became a "notifiable disease" - this did not happen until 5th March, so insurers should not be able to apply an earlier date!