A crowdfund campaign launched to challenge insurance companies that are refusing to honour business interruption policies specifically for the hospitality sector has surpassed its initial target.
The campaign started in April and has the support of Best Western, Vine Hotels and more latterly the Night Time Industries and Oxsana Hospitality.
After the latest contribution from UKHospitality, it now means the next stage of the campaign can get underway and will see a review of policies and insurers’ reasons for declining claims.
This will then be followed by the preparation of advice on coverage under each category of policy in advance of possible legal action.
The campaign is being headed by Rob Atkinson, an in-house hospitality lawyer from Black and White Hospitality which operates the Marco Pierre White portfolio of restaurants.
Atkinson said: “We’ve got real momentum building and it’s imperative that anyone who thinks they’ve been let down by their insurer, backs this campaign.
“I can’t stress enough that this is being run by the industry not a law firm and the donated funds are held by a legal-specific, fully regulated crowd fund page called CrowdJustice and any surplus funds generated will be donated to charity.”
Kate Nicholls, chief executive of UKHospitality added: “Businesses have taken out policies in good faith and many now find themselves not only at a loss but angry as to why they are not being honoured.
“This is a monumental crisis for businesses and the hospitality sector has been one of the hardest hit. At such a time, businesses need all the support they can get to stay alive and keep jobs open. It is important that hospitality presents a united front and we are very happy to support this drive to ensure businesses are treated fairly by insurers.”
The crowdfunding page can be found at https://www.crowdjustice.com/case/hospitality-business-interruption-action