Midlands billboards call out insurance ‘bully’
● Two new features have been added to the scenic route along the N3 highway in the KwaZulu-Natal midlands — 12m x 2.5m billboards accusing Guardrisk Insurance of being a bully for refusing to fully honour a Covid-19 claim.
A wedding and events venue in Nottingham Road, Brahman Hills, and a restaurant, the Windmills Kitchen, erected the billboards a week ago after the insurer offered to pay only 20% of their R13m claim.
The billboards read: “MMH/Guardrisk — you bully! When are you going to pay our valid Covid 19 claim?”
In a joint response to the Sunday Times, the establishments said they were insured with Momentum Metropolitan Holdings’ Guardrisk for business interruption due to notifiable infectious diseases.
According to their joint policy, insurance would cover loss resulting from interruption in business due to a notifiable disease occurring within a 50km radius of the premises.
“Patient zero was in Hilton, which falls within the 50km radius as prescribed by the policy. They claim that our revenue loss is a result of the government imposing a lockdown. However, we have lost revenue prior to commencement of the national lockdown on
March 27,” said Brahman Hills assistant general manager Onwaba Maholwana.
“There are over 10,000 vehicles a day that travel on the N3. We may even change the message as we go along as we feel strongly about this and are determined to ensure that the right thing is done,” said Maholwana.
She said Guardrisk had made contact after the billboards were erected with an offer to meet on condition that Brahman Hills and the Windmills Kitchen do not speak to the media. “We have refused the offer to meet and the 20% offer.”
Guardrisk Insurance said it is engaging directly “with the client, and the broker, so that this matter can be resolved as quickly and amicably as possible”.
Managing executive Richard Eales said the 20% offer is in line with the methodology used for all clients.
The settlement being offered “is based on the first three months of lockdown, calculated on turnover for the same period in the previous year, less the relevant savings and other relief payments received”.