Thomas, Carroll Group plc, the Wales based risk management and insurance broking Group issues the following urgent advice to businesses affected by riots in London and UK cities:

Together with fellow insurance broking professionals across the UK, we have an immediate emergency claims support operation ready to tackle any claims arising from the riots affecting major cities in the UK. 
The emergency advice from Thomas, Carroll covers three key areas:

1) Immediate Action
2) Riot Damages Act
3) Disaster Recovery Planning

1) Immediate Action

Businesses and individuals affected by riot damage are advised to notify their insurance broker/insurer at the earliest opportunity in order to establish a case for their claim.

Most home insurance should cover people for fire, looting or damage and many policies will also cover people for alternative accommodation costs if they cannot stay in their home.

Commercial insurance policies will normally cover businesses for damage to their premises, including, if bought, the financial loss due to interruption to their business as a result. Some policies will also cover those businesses which are not damaged, but whose trade is affected by the aftermath.

2) Riot Damages Act (1886)

Under the Act, insurers have the right to recover the costs from authorities following a failure to keep the peace.  In order to comply with the Act, most UK Property Insurance policies have strict reporting procedures on Riot Damage claims, with the majority requiring notification of the claim within seven days of the incident to allow insurers to reclaim the cost of damage from the relevant Police authority.

3) Disaster Recovery Planning

The riots and looting in London and other UK cities over recent days have highlighted the need for all businesses to adopt a Disaster Recovery Plan as part of their business operations.

Disaster Recovery Planning covers all aspects of potential disasters which can affect business, including fire and riot damage.  All businesses should work with their insurance broker/insurer to ensure they have adequate disaster planning in place to cover all eventualities.

With no recovery plan, you have less chance of survival, particularly if you are a smaller business as you who may not have the resources available to you to cope.  Research suggests that 80% of businesses that suffer such a major incident fail within 18 months. (Source: Association of British Insurers)

It may be too late for these current incidents but the advice is that we are living in uncertain times and it makes good sense to be better prepared for any future reoccurrences.

Paul Gardner (Dip CII, Dip Mgnt), Director of Thomas, Carroll Group plc is available to give technical advice on insurance matters.