ExCel Center in London wins insurance appeal for losses caused by COVID-19

The owners of London’s ExCel conference center on Friday won an appeal brought by insurers including Allianz over losses caused by the pandemic, which its lawyers said could help thousands of other policyholders.

London International Exhibition Center Plc sued London’s High Court in 2022 for business interruption losses caused by the COVID-19 pandemic, claiming about 16 million pounds ($21.1 million) under its insurance policy.

Related: London Excel Center Wins Insurance Judgment on Business Interruption Losses Caused by COVID-19

His test case concerned the “on location” clauses in various insurance policies and whether business closures were covered.

The High Court ruled in favor of the owners of the ExCel Center that the Supreme Court’s 2021 ruling on radius clauses – which cover losses caused by diseases that are within a specific radius of the business – also applied to premises cover.

Allianz and other insurers Aviva, Chubb and Zurich appealed this decision to the Court of Appeal, which rejected their appeal on Friday.

Law firm Stewarts, which represented the owners of the ExCel Centre, said the ruling was a major win for policyholders.

“This ruling confirms that thousands of businesses affected by the COVID lockdown, who have not yet received payment from their insurers, may now be able to make a claim,” said Aaron Le Marquer, head of policyholder litigation at Stewarts.

An Allianz spokesman said it was reviewing the implications of the decision.

“We will also be reaching out to all customers who are affected by the ‘on premises’ cases to provide them with an update on their outstanding claims,” ​​the spokesperson said in a statement.

Aviva declined to comment. Chubb and Zurich did not immediately respond to a request for comment.

Peter Hardy, a partner at law firm Reed Smith, who was not involved in the case, described the decision as “a significant victory for policyholders”.

“A finding for insurers would have resulted in different causation tests being applied depending on whether the insured purchased (at the premises) or the range formulation,” Hardy said.

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Loss of profit London COVID-19