'You don't stop paying a claim half way through. It's shocking': Insurer NFU Mutual wriggled out of holiday cottage owner's Covid payout after saying she was covered

A small business which originally saw its insurance claim accepted saw payouts cease when a new coronavirus exemption was added at renewal. Judith Grice from near Barnard Castle, County Durham, says she was promised by her insurer that renewing her policy in May would not affect her existing claim which was approved in April.  However, her payments then stopped without warning. Load Error Judith's rental holiday cottage is insured with NFU Mutual, and she pays extra to cover the cancellation of advance bookings.  Her story is the latest in a saga that has seen insurers come under fire for failing to pay out on business interruption claims to those who believed they were covered for the effects of lockdown.  There has been a series of high profile disagreements in recent months between firms forced to close their doors and insurers who claim their policies don't cover closure due to the coronavirus pandemic. When the lockdown hit and Judith had to close the business' doors, she claimed on her insurance for the month of April and successfully received a payout from NFU. The original documents say that NFU will pay for loss of income if guests cancel due to compulsory quarantine. However, she says she was specifically assured on the phone by NFU that renewing would not affect her existing claim and that payouts would continue until the current wave of coronavirus ends. 'Therefore, we can confirm Mrs Grice will receive payment for all of her cancelled bookings during the current lockdown period that prevents her from hosting guests.