Stephanie Marshall, a solicitor at law firm Fieldfisher explains the implications for nurseries
On 15 January, the Supreme Court concluded that certain insurance policies covered losses suffered by businesses during the pandemic.
Many policyholders awaiting this decision were nurseries that were forced to close, save for providing care for a small number of children of key workers, and which continued to incur many of their regular business costs while their income was substantially reduced – leading to substantial losses.
A number of these nurseries had business interruption (BI) insurance policies that they assumed would cover them for the losses suffered.
In some cases, insurers accepted liability under these policies, but others disputed liability – creating uncertainty that the Financial Conduct Authority (FCA), the regulator for insurers, decided to clear up by bringing a test legal case.
Register now to continue reading
Thank you for visiting Nursery World and making use of our archive of more than 35,000 expert features, subject guides, case studies and policy updates. Why not register today and enjoy the following great benefits:
What's included
-
Free access to 4 subscriber-only articles per month
-
Unlimited access to news and opinion
-
Email newsletter providing activity ideas, best practice and breaking news
Already have an account? Sign in here