Two Santam clients want to force the short-term insurer's hand to pay Covid-19 related claims for their hotels and restaurants. Business interruption cover is a kind of insurance product that compensates businesses when they are not able to trade, mostly due to damage to their premises or assets. However, some insurers, including Santam, also promise to cover their clients for notifiable infectious diseases and the cover is largely sold to the hospitality sector. Ryan Woolley, CEO of Insurance Claims Africa, said:"The insurers have chosen a hard line on these things. Nicolene Schoeman-Louw, managing director at Schoeman Law Inc., says the problem is that business interruption insurance is not regulated.

Source: News 24 June 12, 2020 04:01 UTC