London’s ExCel Centre Wins Insurance Appeal Over COVID-19 Losses

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

London International Exhibition Centre Plc took legal action at London’s High Court in 2022 over business interruption losses caused by the COVID-19 pandemic, claiming around 16 million pounds ($21.1 million) under its insurance policy.

Its test case concerned “at the premises” clauses in various insurance policies and whether the closure of businesses was covered.

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

Allianz and fellow insurers Aviva, Chubb and Zurich challenged that ruling at the Court of Appeal, which dismissed 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 lockdowns who have not yet had a payout from their insurers may now be able to pursue a claim,” Aaron Le Marquer, head of policyholder disputes at Stewarts, said.

A spokesperson for Allianz said it was reviewing the ruling’s implications.

“We will also be in touch with any customers who are affected by the ‘at the 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 tests for causation applying depending on whether a policyholder purchased (at the premises) or radius wording,” Hardy said.