Minister urges insurers to ‘swiftly resolve’ riot claims

Insurers have been urged to “swiftly resolve” claims from businesses which suffered damage during the recent rioting.

Business and trade secretary Jonathan Reynolds called on the Association of British Insurers (ABI) to do “all it can to get affected high streets and businesses back on their feet”.

It comes after Martin McTague, chairman of the Federation of Small Businesses (FSB) warned the BBC that the “mayhem” was “having a devastating impact” on high streets, and suggested the widespread damage could cost millions to repair.

In his letter, Reynolds thanked the industry for its “promise to support” those affected by an “anxious and worrying time” for the entrepreneurs hit by the violence and “outright racism”.

He suggested the “barbaric action” may have led to “thousands of pounds of damage to shop fronts and stock” to the firms which are the “bedrock” of communities and the economy.

“It is important that the industry response is swift and does all it can to get affected high streets and businesses back on their feet,” he stressed.

“I urge you and your members to swiftly resolve these claims to ensure businesses do not suffer additional delay in reopening and continuing to serve their local communities.”

Writing to ABI director general Hannah Gurga, Reynolds promised: “This government will ensure these mindless thugs do not result in local shops closing for good.

“It is important that those who seek to divide us do not succeed by pushing out the businesses that bring us together as a community.”

Commercial premises tend to have damage cover which may include operational disruption, while some policies will also insure against trade being affected, despite no physical vandalism.

An ABI spokesperson said: “It has been deeply disturbing to see the events unfold since the tragic attack in Southport and our thoughts are with all of those affected.

“Insurers appreciate that this is an incredibly stressful time and will be on hand to do everything they can to help customers recover as quickly as possible.

“Physical damage to homes or businesses is covered as standard by most household and business insurance policies. Most comprehensive motor insurance also includes cover for damage to your car.

“If you have been affected, contact your insurer as soon as you can so that they can advise on next steps. You also need to report any damage to the police to get a crime reference number for your claim.”