Business
Hiscox Ltd response to Supreme Court Judgment
Hiscox Ltd response to Supreme Court Judgment.
About this update from Hiscox Ltd
[{"type":"text","content":"\n \n \n \n RNS Number : 8572L\n Hiscox Ltd\n 15 January 2021\n \n \n \n \n THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION\n \n \n \n \n \n Hiscox Ltd response to Supreme Court Judgment in Insurance Industry Test Case\n \n \n \n \n \n \n Hamilton, Bermuda (15 January 2021)\n \n - Hiscox Ltd (LSE:HSX), the international specialist insurer, notes the judgment of the Supreme Court (the \"Judgment\") delivered today in the appeal of the UK insurance industry test case on the contractual interpretation of business interruption wordings in certain UK property insurance policies (the \"Industry Test Case\").\n \n \n \n \n \n Key points:\n \n \n \n \n \n · \n Hiscox welcomes the clarity of final Judgment; claims settlement process has begun\n \n \n · \n The outcome of the Supreme Court's Judgment confirms that fewer than one third of Hiscox's 34,000 UK Business Interruption policies may respond\n \n \n · \n Hiscox Group 2020 COVID-19 estimate for business interruption increased by $48 million net of reinsurance \n \n \n · \n Hiscox's capital position remains strong and the Group maintains an \"A\" rating for financial strength from S&P.\n \n \n \n \n \n In order to achieve clarity for customers on the application of relevant policies as quickly as possible, Hiscox agreed in May 2020 to assist the Financial Conduct Authority (\"FCA\") by participating in the Industry Test Case alongside seven other insurers. Following the ruling handed down by the High Court in September 2020, permission to appeal to the Supreme Court was granted to the FCA, a policyholder group and six insurers, including Hiscox.\n \n \n \n \n \n The Judgment handed down today comprises more than 100 pages of legal analysis by the Supreme Court addressing important points of insurance law and setting new precedent for over 50 insurers and almost 400,000 policyholders. The Supreme Court largely confirms the outcome of the High Court's ruling that, except in rare circumstances, cover is restricted to Hiscox policyholders who were mandatorily closed. Fewer than one third of Hiscox's 34,000 UK Business Interruption policies may respond as a result.\n \n \n \n \n \n The Judgment represents the final outcome of the Industry Test Case, and there can be no further appeals. Hiscox welcomes the clarity that the Judgment pro...