Petter Stordalen's hotel chain Nordic Choice has not yet received a penny from the epidemic insurance he took out for the chain. A pandemic is something different, according to the insurance company Codan.

Before the Covid-19 pandemic, Nordic Choice took out insurance with Danish Codan, which is owned by Trygg-Hansa's owner RSA Insurance Group, where Christer Gardell's Cevian is one of the owners.

The disagreement concerns whether Stordalen took out insurance against an epidemic or a pandemic. Codan argues that Covid-19 is a pandemic and that the insurance therefore does not cover a large part of Petter Stordalen's losses.

An epidemic, which is the word used in insurance, is a spread of disease within a limited geographical area or in a population group, while a pandemic spreads throughout the world.

Nordic Choices CEO Torgeir Silseth says Dagens Næringsliv that he is quite sure that the insurance also covers the current situation, and has submitted the case for legal review.  

The Nordic Choice group has 10 billion Swedish kronor in debt and is bleeding hundreds of millions of kronor a month. If Petter Stordalen gets his demands against the insurance company through, the hotel chain could receive almost a billion in damages, according to Dagens Næringsliv.

Yesterday, Nordic Choice announced that it had secured financing through the corona crisis. Among other things, the bank DNB is said to have contributed capital. The amount is still secret.

The code says Dagens Næringsliv that you do not comment on customer matters.

Source: di.se