Underinsured

Underinsurance – Post Brexit Article 50 Update

The effect of the UK’s decision to leave the EU just over a year ago was catastrophic for exchange rates – and with continued uncertainty surrounding

the terms of Brexit, it’s unlikely that the pound will recover fully in the near future.

The invoking of Article 50 caused sterling to plummet once more – and though it has rallied since, it’s still nowhere near the heights of June 23rd 2016. This is bad news for businesses all over the UK. The issue of underinsurance is starting to bite, with many businesses discovering that their existing insurance policies are no longer enough to cover the costs of things like replacing machinery imported from the EU. Businesses must then dip into their own pockets to cover the difference, leaving a large dent in their finances for the year.