The Financial Conduct Authority (FCA) has paved the way for an expedited appeals process in its business interruption test case with an application to the Supreme Court.
Clarity was sought on the business interruption policy wordings of eight insurers in the test case, which was brought in response to rejections of Covid-19 claims following lockdown in March.
Filing the leapfrog application is a cautionary measure for the FCA. The regulator believes “clarity was provided” in the High Court’s initial judgement and remains in discussions with the eight insurers and two intervenors that participated in the test case.
The FCA said these discussions have a deadline of the close of business today and understands that seven of the eight insurers participating have filed similar precautionary applications with the Supreme Court.