Archived article
Please note that tax, investment, pension and ISA rules can change and the information and any views contained in this article may now be inaccurate.
Greggs claims £100 million from Swiss insurer for ‘business interruption’

AJ Bell is an easy to use, award-winning platform Open an account
We've accounts to suit every investing need, and free guides and special offers to help you get the most from them.
You can get a few handy suggestions, or even get our experts to do the hard work for you – by picking one of our simple investment ideas.
All the resources you need to choose your shares, from market data to the latest investment news and analysis.
Funds offer an easier way to build your portfolio – we’ve got everything you need to choose the right one.
Starting to save for a pension, approaching retirement, or after an explainer on pension jargon? We can help.
Please note that tax, investment, pension and ISA rules can change and the information and any views contained in this article may now be inaccurate.
Food-to-go retailer Greggs (GRG) has filed a £100 million legal claim against Swiss insurance giant Zurich for losses it incurred while its stores were closed during the pandemic.
The company argues it is due the money as compensation for ‘business interruption’ under the terms of its insurance agreement. The claim is significant as if successful it could open the floodgates for other firms to claim against their insurers.
In March, Greggs posted the first loss in its 36-year history after the closure of its shops due to Covid-19. In its results it flagged asset impairment charges and ‘onerous shop operating costs’ as a result of the difficult trading environment and government-enforced restrictions.
Zurich argues its liability is just £2.5 million under the terms of its deal with Greggs, according to papers filed with the commercial court of the High Court in London.
In January, the UK’s Supreme Court dismissed an appeal by a group of insurers including Hiscox (HSX) and upheld the position of the Financial Conduct Authority that insurers should pay up for business interruption costs in most cases.
Earlier this week, Brighton Pier (PIER:AIM) revealed it had received £5 million in business interruption compensation from its insurers, although it said the payments ‘in no way’ covered all of the losses it incurred due to the pandemic.
These articles are provided by Shares magazine which is published by AJ Bell Media, a part of AJ Bell. Shares is not written by AJ Bell.
Shares is provided for your general information and use and is not a personal recommendation to invest. It is not intended to be relied upon by you in making or not making any investment decisions. The investments referred to in these articles will not be suitable for all investors. If in doubt please seek appropriate independent financial advice.
Investors acting on the information in these articles do so at their own risk and AJ Bell Media and its staff do not accept liability for losses suffered by investors as a result of their investment decisions.
The value of your investments can go down as well as up and you may get back less than you originally invested. We don't offer advice, so it's important you understand the risks, if you're unsure please consult a suitably qualified financial adviser. Tax treatment depends on your individual circumstances and rules may change. Past performance is not a guide to future performance and some investments need to be held for the long term.
Our website uses cookies to give you a better browsing experience.
You can choose to accept all cookies, or control which we use by clicking 'Manage cookies'. To learn more, read our cookie policy.