High Court ruling on Covid business costs gives Suncorp a $180m win
Suncorp has had a $180 million win following a ruling from the High Court.
Suncorp has been hit with a $32m backpay bill (pic: Suncorp)
The court announced that applications for special leave to appeal related to the cost of business interruptions stemming from Covid-19 had been refused.
“Therefore, the original judgement, which was delivered by the Federal Court in February 2022 now stands as final,” Suncorp said.
“This judgement was largely in favour of the insurance industry, finding that in most circumstances insurers were not liable to indemnify the policyholders for Covid-19 related business interruption claims.
“Suncorp’s provision for potential losses due to Covid-19 related business interruption claims was $179 million.”
The company said the ruling meant the majority of the provisioning would be released and updated costs would be in its first half profit results.
