Jun 16, 2021
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N Brown insurance litigation gets more complicated

Jun 16, 2021

JD Williams’ claim against Allianz Insurance over Payment Protection Insurance (PPI) damages has hit problems. The insurance company has now pushed back against the N Brown-owned retailer, increasing its original claim by up to £36 million.

JD Williams

The litigation involves an ongoing claim going through the High Court in which Allianz has contested JD Williams’ attempt to counterclaim for PPI pay-outs it made to customers regarding the sale of historical insurance products.

Allianz has argued that JDW was an experienced seller of add-on insurance products and knew the risks.

In a market update Wednesday, parent company N Brown said: “The claim and counterclaim are extremely complex, and proceedings remain at an early stage, with each party only recently having completed a long disclosure exercise. We continue to gather detailed and factual expert and witness evidence in relation to multiple elements of the claim and counterclaim”.

However, N Brown shares plummeted this morning and remain down almost 7%.

Allianz has now issued a further application to the Court seeking to increase the scope of its original claim in relation to a further customer redress exercise yet to be undertaken.

It said it estimates the value of this additional element of the claim, should the application be successful, to be up to £36 million.

The case is scheduled for trial in March 2022.

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