Sixteen insurers’ business interruption insurance policies will be examined in the legal test case over whether claims should be paid out to small and medium-sized businesses hit by interruptions due to the Covid-19 lockdown.

Eight insurers have been asked by the regulator to participate in the High Court case, the Financial Conduct Authority said in a 1 June statement. They are Hiscox, QBE, Zurich Insurance, MS Amlin Underwriting, Royal & Sun Alliance, Ecclesiastical Insurance Office, Argenta Syndicate Management and Arch Insurance.