FBD Increases Business Interruption Provision Following Pubs Case
FBD Insurance has increased its business interruption provision to €65 million for its exposure to pub claims, following a declaration by the High Court in February that the owners of Sinnotts, the Leopardstown Inn and the Lemon & Duke of Dublin, and Sean's Bar of Athlone are entitled to be compensated by FBD for COVID-19-related business disruption.
As reported by The Irish Independent, FBD said that its best estimate net claims is €54 million, and €11 million is assumed for reinsurance reinstatement premium.
Gross Claims Costs
FBD added that, at present, the gross claims costs including legal and other expenses are estimated to be approximately €150 million.
The Irish Independent quotes FBD as saying, "The effects of the judgement are being considered with our reinsurance partners in order to finalise the reinsurance recovery position."
Working "To Ensure Claims Settlements Are Paid As Expediently As Possible"
FBD also said that it does not intend to appeal the judgement, and that it "will work with [its] customers to ensure claims settlements are paid as expediently as possible."
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