FBD has committed to paying out “valid claims” to its public house insurance customers for financial losses incurred as a result of pandemic related closures.
The insurance company was left with no choice after the High Court delivered a landmark decision on Friday on the back of a test case taken by four pub owners.
Section 3 of FBD’s Public House Insurance policy provides cover for business closures arising from “outbreaks of contagious or infectious diseases on the premises or within 25 miles of same”.
FBD claimed the cover didn’t extend to nationwide outbreaks, and was instead confined to more localised cases.
However, in a detailed judgement delivered on Friday, Mr Justice Denis McDonald, refused to accept that it requires the closure to be proximately caused by local outbreaks, and found them liable for costs incurred since the forced closure of the pubs almost a full year ago. The actual amount has yet to be decided.
This case was taken by four pub owners, but its outcome has far reaching consequences, with up to 1,300 other publicans having the same policy.
Pat was joined on the line by Darragh McAllister, Clare Chair of the VFI, and Brian Winters, Solicitor and publican and founder of the Save Irish Pubs Campaign, to discuss the ramifications.
