Tourism and hospitality operators across Cumbria are missing out on valuable payouts as insurers refuse to cover them during the coronavirus outbreak.

Cumbria Tourism said 73 per cent of more than 60 businesses it had surveyed had been unable to make a claim despite taking out policies that covered infectious diseases.

It has been collecting responses and case studies specifically regarding insurance policies alongside its Coronavirus Business Impact Survey.

“We have been contacted by many concerned businesses, who have acted responsibly by taking out insurance policies they believed would cover them in a case of business interruption and/or notifiable disease cover but who are being told the cover does not apply to coronavirus," said managing director Gill Haigh.

"Seventy-three per cent of businesses have been unable to make a claim despite 92 per cent having cover which includes infectious diseases.

"Additionally, 17 per cent of those surveyed have told us that their insurer has changed their policy since the outbreak began."

Gill said Cumbria Tourism was working with the Federation of Small Businesses to feed the data it had gathered to the Government "to assist their dialogue with the Association of British Insurers".

"The more information we receive the stronger our voice when representing Cumbria’s tourism businesses at the highest levels and I would urge all those within our industry to visit our website and complete our surveys," she said.

"It appears that this is an issue the Government is keen to learn more about and we hope that there will be some kind of solution found for our members.”

James Tasker, proprietor of the Lamplighter Dining Rooms, in Windermere, said insurance underwriters Pen Underwriting, based in London, were disputing his right to a payout.

"Their point is that in the description of infectious diseases, Covid-19 isn't specifically stated," he said.

"But the insurance was taken out in July of last year and supplementary charges were paid to make sure we were covered for infectious diseases.

"When it says infectious diseases cover you take that to be everything other than what it says it excludes and it doesn't exclude Covid-19."

He said the insurance would help keep money in the business while it ceased trading and the claim was "not a profit making exercise".

"The business has been interrupted since March," he said.

"To be still having a dialogue in late April isn't acceptable."

In a statement Pen Underwriting said it was "doing everything we can to support all our customers".

"This includes reviewing each individual claim to see whether the policy wording in question will enable insurance cover to respond," it said.

Cumbria Tourism is urging businesses to fill out its surveys by going to cumbriatourism.org/coronavirus