Burst pipe disrupts a small business: Securing £88,871 and navigating a complex business interruption claim

The Incident

A burst pipe from the property above resulted in water ingress into Clare Spalding’s small clinic, which occupied a commercial/retail unit below.

Fortunately, the leak was discovered and repaired relatively quickly, limiting the extent of the physical damage. However, as a tenant, Clare faced a more complex claim involving damage to her equipment, tenant’s improvements and stock, as well as significant business interruption losses.

The building damage itself was the responsibility of the landlord, while Morgan Clark assisted Clare with the elements of the loss affecting her business.

The Challenge

Although the physical damage was relatively limited, the claim became more complex due to difficulties obtaining timely responses from insurers and Loss Adjusters, alongside a lack of co-operation from the landlord.

The business interruption element of the claim was particularly significant. An initial issue arose around the insurer’s interpretation of Clare’s business accounts, with the insurer initially only considering business interruption relating to one account.

Morgan Clark worked with Clare throughout the claim, helping her understand the process, dealing with the various parties involved and providing support when the claim became stressful or progress appeared slower than expected.

Our Approach

Morgan Clark managed the claim throughout its eight-month duration, keeping Clare informed and helping her navigate the various issues arising between the landlord, insurer and other parties.

The claim included:

• £19,000 for tenant’s improvements and contents
• £700 for stock
• £69,171 for business interruption
• A total claim value of £88,871

Morgan Clark’s Loss Assessor, Paul Taylor provided ongoing support throughout the process, explaining matters clearly and helping Clare understand what was happening at each stage of the claim.

His involvement was particularly valuable when Clare was faced with difficult conversations and delays, allowing her to focus on her business while Morgan Clark helped manage the insurance process.

The Outcome

The final settlement exceeded Clare’s expectations, particularly following the resolution of the issue surrounding the business interruption element of the claim.

Clare was extremely positive about the service she received from Morgan Clark and Paul Taylor, describing Paul as a “complete professional” and highlighting his ability to explain complex matters in straightforward terms.

She also praised his support in dealing with the difficulties surrounding the claim:

“Paul is a complete professional. Every question I needed answering every step of the way he was there in easy terms to understand. He dealt with the difficult people throughout my claim. I highly recommend Paul for any losses anyone has.”

Client Feedback

“I could never have done any of it without his help.”

Clare also said:

“I could not have completed this insurance claim for the flood or dealt with my landlord without the help of Paul Taylor from Morgan Clark. He is a very professional calming and knowledgeable individual. I highly recommend Paul for any claim. Thank you Paul but thank you does not seem enough.”