The ABI has urged people affected by the riots in London and other parts of the country to contact their insurer as soon as possible. Many insurers run 24 hour helplines and will be on hand to support people affected.  

The ABI has also written to business groups to let business owners know that many commercial insurance policies will cover them for loss of trade as well as damage. People should contact their insurer for information and advice.  

Nick Starling, Director of General Insurance and Health, ABI said:  

“We have every sympathy for residents and business owners who have suffered damage to their properties. This is a time of enormous stress for them and their insurers will be on hand to answer any questions that they may have. We urge people to contact their insurer as soon as possible to check what they are covered for and arrange for immediate help. Many insurers operate a 24-hour claims line and can help people arrange for urgent repairs.  

“Home insurance should cover people for fire, looting or damage caused. Many policies will also cover people for accommodation costs if they can’t stay in their home. Most commercial insurance policies will cover businesses for damage to their premises, including the interruption to their business as a result. Some policies will also cover those businesses which are not damaged, but whose trade is affected by the aftermath. Insurers are working as quickly as they can to deal with claims.  However, access to dangerous buildings which are also crime scenes is a serious issue. It is too early for us to have an accurate picture of total costs, especially business interruption costs, but insurers are expecting significant losses, of at least £10s of millions.”  

LETTER FROM THE ABI TO BUSINESS GROUPS   

INFORMATION FOR BUSINESSES AFFECTED BY RIOTING  

We have every sympathy for those business owners who have suffered damage to their properties as a result of the rioting we have seen across the UK but particularly in London in recent days. We understand that this is a time of enormous stress for business owners but they should know that their insurers will be on hand to answer any questions that they may have.   Most commercial insurance policies will cover businesses for damage to their premises, including the interruption to their business as a result of fire, looting and the other damage caused by the recent riots. Some policies will also cover those businesses which are not damaged but whose trade has been affected by the aftermath.   It is important for people to read their insurance policy’s terms and conditions carefully to check what they are covered for. If necessary, contact your insurance company for any additional clarification that is needed and for any immediate assistance. Insurers are working as quickly as they can to deal with claims and most have 24 hour call centres that will be able to help. Many insurance policies require claims to be notified within a specified time period, often 7 days, of the event giving rise to the damage to property in order for that claim to be covered. If you think you might have a claim, please review your insurance policy and contact your insurer or insurance broker as soon as possible.   It is important to recognise that many buildings that have been severely damaged will be dangerous or may be crime scenes which may pose access issues for business owners and insurers alike.   It is too early to tell what the total cost of the recent rioting might be, but insurers are expecting to face significant losses of at least £10s of millions. But the priority for insurers at the moment is to help people through this incredibly traumatic time.
- ENDS -

Notes for Editors  

Enquiries to:
Liz Forster                 020 7216 7444 (Mobile: 07717 578 586)
Malcolm Tarling          020 7216 7410 (Mobile: 07776 147 667)
Linsey White               020 7216 7415 (Mobile: 07939 126 553)
Katherine Riviere        020 7216 7514 (Mobile: 07725 372636)

Notes

Enquiries to:

Katherine Riviere	020 7216 7514
Liz Forster	020 7216 7444

1.    The ABI is the voice of the UK’s insurance, investment and long-term savings industry. It has over 300 members, which together account for around 90% of premiums in the UK domestic market.
The ABI’s role is to:
-       Be the voice of the UK insurance industry, leading debate and speaking up for insurers.
-       Represent the UK insurance industry to government, regulators and policy makers in the UK, EU and internationally, driving effective public policy and regulation.
-       Advocate high standards of customer service within the industry and provide useful information to the public about insurance.
-       Promote the benefits of insurance to the government, regulators, policy makers and the public.  

The UK insurance industry is the third largest in the world and the largest in Europe. It is a vital part of the UK economy, managing investments amounting to 24% of the UK’s net worth and contributing the fourth highest corporation tax of any sector. Employing over 275,000 people in the UK alone, the insurance industry is also one of this country’s major exporters, with a fifth of its net premium income coming from overseas business. Insurance and businesses protect themselves against the everyday risks they face, enabling people to own their own homes, travel overseas, provide for a financially secure future and run businesses. Insurance underpins a healthy and prosperous society, enabling businesses and individuals to thrive, safe in the knowledge that problems can be handled and risks carefully managed. Every day, our members pay out £155 million in benefits to pensioners and long-term savers as well as £58 million in general insurance claims.  

2.        An ISDN line is available for broadcasts.  

3.        More news and information from the ABI is available on our web site, www.abi.org.uk.