Businesses and households across the United Kingdom are facing losses of more than £200m following riots, looting and arson attacks, according to the Association of British Insurers (ABI).
The UK riots began after three girls were killed in an attack at a Taylor Swift-themed dance class in Southport. Protests have been held across the UK, including in London, Rotherham, Liverpool, Plymouth, Middlesbrough and in Northern Ireland.
High street shops such as Shoe Zone, Sainsbury’s, Lush and Greggs are believed to have been targeted in the rioting while the windows of a Holiday Inn Express were smashed in Rotherham before the building suffered fire damage.
In the UK most property insurance policies include ‘riot` coverage, which participating insurers have to comply with in accordance with the Riot Compensation Act 2016 (RCA), which requires that UK riot claims are made within 42 days of the riot ending.
Unfortunately these riots have been part of a global increase in political instability, with riots also occurring elsewhere in the world, not just in third world countries such as Bangladesh, but also more frequently in developed nations such as USA and France.
The rise in geopolitical risk means that international businesses need to re-think whether their insurance coverage is suitable. It is increasingly common for riot coverage to be excluded on property insurance policies covering assets outside the UK.
Supply chains are also affected, so businesses in the UK which have global supply chains, need to think about the impact on their revenue should a political violence event affect assets they have at an overseas storage or manufacturing location.
W Denis arranges comprehensive political violence insurance, which can include: Strike, Riot, Civil Commotion, Terrorism, Sabotage, Malicious Damage, Insurrection, Revolution, Rebellion, Mutiny, Coup d’Etat, War, Civil War and Counter Insurgency.
To discuss this further with a broker at W Denis, please make arrangements with Daniel Moss at [email protected] or on 0044 (0)113 2439812 or contact Mark Dutton at [email protected] or on 0044 (0) 7831 366 469.
