COVID-19
Partner Update


COVID-19 Partner Update 19 November 2020

The Insurance Council of Australia (ICA) has run a test case to determine if certain pandemic exclusion clauses that reference the repealed Quarantine Act hold for business interruption policies. The majority of Vero policies reference the current legislation, the Biosecurity Act, so this case has no bearing on those policies.

For those policies that refer to the Quarantine Act, the NSW Court of Appeal has ruled that certain pandemic exclusions referencing the Quarantine Act are invalid. The judgement means that insurers may not be able to rely on these exclusions in the assessment of business interruption claims if they fall within the scope of the judgment.

The NSW Court of Appeal judgement remains open for parties to appeal until 16 December 2020. The ICA is considering whether there are grounds for an appeal to be lodged, and the findings may still be amended by the High Court.

Can I claim if my business has been impacted by COVID-19?

This case has no bearing on any policies or claims with an exclusion that references the correct Act the Biosecurity Act.
Customers should claim if they believe they have a claim. We will assess each claim in accordance with the policy terms and the circumstances of their claim.

Does that mean you will accept my business interruption claim?

Customers should claim if they believe they have a claim. We will assess each claim in accordance with the policy terms and the circumstances of their claim.
This case has no bearing on any policies or claims with an exclusion that references the correct Act the Biosecurity Act.