Suncorp (ASX:SUN) to take further $125 million provision

16/11/2020 11:00:00

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Suncorp (ASX:SUN) report the impact of COVID-19 across Suncorp’s General Insurance portfolio for the first half of the FY21 financial year is expected to be broadly neutral.

Taking into account the breadth and depth of the Victorian lockdown, the Group now expects to recognise a further $125 million (pre-tax) provision for potential Business Interruption claims for the first half of the FY21 financial year, assuming no further material Covid-19 outbreaks.

This will take the Group’s total provision for potential BI claims in relation to Covid-19 to $195 million (pre-tax).

Shares in Suncorp (ASX:SUN) are trading 0.98 per cent higher at $9.25.