- The Night Time Industries Association and leading leisure & hospitality broker NDML (Part of the Romero Group) call on The Chancellor to release excess capital from PoolRe’s £6.6bn fund.
- An opportunity for the government to break insurer deadlock and save businesses across the country.
- NDML highlighting a unique opportunity to make sure both businesses and insurers survive this unprecedented challenge.
NDML in partnership with The Night Time Industries Association are today penning an open letter to Chancellor – Rishi Sunak MP – calling for an end to the crippling deadlock putting the survival of the leisure and hospitality industry in serious peril.
NDML (part of the Romero Group), has identified a unique opportunity that will help the night-time industry survive, without crippling insurers with unmanageable business interruption pay-outs putting the insurance industry itself under serious strain.
PoolRe (the UK’s leading terrorism insurance underwriter), has amassed a fund of £6.6billion, and it’s NDML’s belief that drawing from excess capital in this fund, will provide the financial breathing space necessary, to break insurer deadlock and save businesses.
NDML’s Managing Director, Simon Mabb commented:
“We’ve been trying to help and find solutions for our clients and the wider leisure industry since the very beginning of the COVID-19 pandemic. We’ve pushed and challenged insurers but have reached an unmanageable deadlock. We truly believe this is an opportunity that can future-proof pandemics, and create a solution for today, as well as a plan for tomorrow.
This is a new idea and something that hasn’t been done before. But we’re facing circumstances we’ve never faced before, and that calls for innovative solutions to keep businesses afloat, and will save the burden of lengthy and very expensive court cases which are assembling as we speak.”
PoolRe exists to insulate the taxpayer from major losses following unforeseeable acts of terror. Whilst the current situation we find ourselves in is not an act of terror, it was certainly unforeseeable, and NDML believes that with such significant capital built up by PoolRe, it’s only right that excess funds are released in a very real-time of crisis.
Michael Kill, CEO for The Night Time Industries Association said:
“I’ve been representing the night-time industry for many years, and I’m proud to be working with NDML to fight for the small businesses facing critical challenges right now. I think any opportunity to save people’s livelihoods should be grasped with both hands, and this proposal put forward by NDML seems to offer a glimpse of light at the end of the tunnel that will hopefully break the deadlock, and support the businesses that need it most right now.
There’s no time to waste to save our industry, and I’m urging the Chancellor, Prime Minister and government to release these funds and save nightlife.”
Insurers are reacting to pandemics in the same way they did with terrorism following the Baltic Exchange bomb in 1992, stripping cover from commercial insurance policies leaving businesses exposed. PoolRe was established by the industry and the government to offer the protection necessary to businesses, and NDML believes it’s now time for a similar scheme to be introduced to protect the UK against a future pandemic threat.
The open letter has been signed by NDML, and The NTIA on behalf of the entire leisure & hospitality industry, and is today being sent to 11 Downing Street & HM Treasury to petition the Chancellor for his support.
Read the full letter below: