Two of Australia’s largest insurers have both slashed their reserve provisions for business interruption claims from the COVID-19 pandemic after last week’s test case ruling.
As we reported last week, the second test case in the High Court of Australia regarding the interpretation of wordings in business interruption policies after the COVID-19 pandemic, has been resolved in favour of insurers after appeals were denied.
As we explained, sources told us this move has positive implications for the release of some trapped ILS capital.
