Business interruption following the Lindt Cafe siege in Sydney
28 February 2015
With the dramatic and sadly tragic armed siege of a Sydney cafe causing the evacuation of thousands of workers, business interruption (BI) policies are likely to be vital for some businesses to recover losses.
Hundreds of businesses were affected, with thousands of workers evacuated as businesses shut down for the day, including many major financial institutions.
Holders of eligible insurance policies who were affected by the tragic siege in December 2014 at the Sydney Lindt Café may be entitled to be paid reinsurance after the Federal Treasurer declared the event a "terrorist incident" and for the first time activated the Australian Reinsurance Pool Corporation (ARPC).
Generally, eligible insurance policies relating to loss or damage of the commercial property of the insured will be covered, as will business interruption and consequential loss. However other insurance policies, including home building insurance and many forms of travel-related insurance, are not covered under the reinsurance scheme.
Should you want more information regarding the Terrorism exclusion and the cover provided under the ARPC scheme, please contact your account executive.