Enterprise Act 2016

An upcoming change in legislation could impact the way insurance claims are handled. The Enterprise Act 2016, which comes into effect in May 2017, looks to reduce the amount of time between the initial claim made to the insurer and the payment of sums to the insured. Part 5 of the Enterprise Act 2016, which directly references the Insurance Act 2015, now states that:

“It is an implied term of every contract of insurance that if the insured makes a claim under the contract, the insurer must pay any sums due in respect of the claim within a reasonable time.”

The act goes on to define what can be considered a “reasonable time”, which includes time to investigate and assess the claim.

At Hawkins, we take pride in our fast response and quick turnaround time. All of our offices have 24-hour telephone lines, and we can attend a scene immediately if required. We can provide a preliminary report within three days, and can work with our client’s needs to produce a full report within an agreed time frame.

If you would like to read the Enterprise Act 2016 in full, please visit www.legislation.gov.uk

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