Santam to finalise outstanding CBI claims soon following court ruling
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THE Supreme Court of Appeal (SCA) this week upheld the High Court decision that insurance company Santam will need to pay out the full 18-month indemnity period to Ma-Afrika, a hospitality establishment that was heavily affected by the Covid-19 pandemic.
Santam chief executive Lizé Lambrechts said the insurer recognised the devastating effect of Covid-19 on the economy and, in particular, on businesses. “We also understand that our clients were affected by the process of attaining legal certainty on this one remaining contingent business interruption (CBI) matter,” said Lambrechts.
Dewald Cillie, chief executive of specialist broker in the tourism sector SATIB Insurance, said the ruling brought both clarity and certainty in terms of the finalisation of claims.
“It’s a bittersweet moment because we know that it has been (and continues to be) a long, hard road for many in the tourism sector.
“We’re satisfied with the judgment, pleased to receive clarity, and relieved to see an end to what has been an extraordinary 18 months,” Cillie said.
BUSINESS REPORT ONLINE