
“We are greatly heartened that not only have the insurers finally accepted their liability and have committed to honour their customers’ claims, but that they are also keen to expedite the appeal process.”This week, Santam asked the Supreme Court for leave to appeal on the indemnity period. The legal precedent had set this at 18 months, while Santam has contended that the indemnity period for its policy extension is only three months.
READ: Business interruption insurance claims are – finally – being honoured
Anderson adds, “ICA has been pivotal in getting to the point where Santam has made important material concessions, such as dropping its demand that Ma-Afrika’s COVID-19 claim be settled on a three-month take-it-or-leave-it basis. We are grateful that Santam has also agreed to offer an interim payment of 3 months, leaving the balance of the 18-month policy to be dealt with after the SCA appeal this week in which judgement was reserved.” Anderson thanked ICA for taking up this cause for the hospitality and tourism industry, adding, “It’s just so incredibly tragic that the closure of so many hospitality businesses could have been avoided had Insurers done the right thing from the start.”READ: Hospitality sector prepares to fight new Bargaining Council extension