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Businesses have been hit hard by the Covid-19 crisis lockdown and the fear many people about using services seen to carry a high risk of infection. While information on the pandemic accumulated rapidly by March, there was still significant uncertainty about areas conducive to rapid transmission, necessitating cautious early responses on the part of governments around the world.

However, many businesses in SA anticipated an epidemic or pandemic by taking out business-interruption insurance to cater for closures resulting from a disease. Yet when they approached insurers to claim on their policies a raft of short-term insurers opted to decline the claims, arguing that the policies did not provide coverage for this contingency...

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