Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether insurance companies are permitted to deduct the cost of furlough payments made to staff in a business insurance claim for flood damage.
Insurers must treat customers fairly and firms are required to do so under the Financial Conduct Authority’s (FCA) rules.
As insurance policies differ significantly, businesses are encouraged to check the terms and conditions of their specific policy and contact their providers. The individual policy wording generally sets out the basis on which the sum due to the policyholder following an insured event will be calculated. Insurers should therefore calculate claims payments due to the policyholder in accordance with the terms and conditions of the relevant policy.