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Ma-Afrika Hotels (Pty) Ltd and Another v Santam Limited (6499/2020) [2021] ZAWCHC 32 (22 February 2021)
The High Court granted leave to appeal on a policy-interpretation dispute over whether business interruption indemnity was limited to 3 months or 18 months.
Ma-Afrika Hotels (Pty) Ltd and Another v Santam Limited (6499/2020) [2020] ZAWCHC 160; [2021] 1 All SA 195 (WCC) (17 November 2020)
The Court held that the infectious diseases extension clause in the applicants' business interruption policies covered losses occasioned by the occurrence of Covid-19 within 40 kilometres of the insured premises. The government response, including lockdown, was found to be inextricably linked to the notifiable disease and formed part of the insured peril. Both factual and legal causation were established, as the applicants' losses would not have occurred but for the local outbreak and the government response. The Court rejected Santam's argument that the indemnity period was limited to 3 mont…
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