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Section 3: Guidelines on the submission of different types of claim
claimant’s business, for example whether its only a breakdown of income is required).
revenues had been increasing or decreasing ● Details of changes in capacity of the
or had remained stable over recent years, business (for example the number of
and any underlying reasons for such trends. bedrooms in a hotel) and changes in
In doing so, account is taken of the particular opening hours or prices charged in the
circumstances of the claimant and any year in which the loss occurred and
evidence presented. In the case of relatively during the previous three years.
new businesses with incomplete or no trading
records, the average reduction of similar ● Saved overheads or other normal variable
businesses in the affected area can sometimes expenses.
be used by assuming that the new business ● Method of calculation of loss.
would have suffered a similar downturn.
3.4.6 Claimants should indicate whether they
3.4.4 Compensation is paid on the basis of lost have received any extra income as a result
gross profit, and so saved overheads or other of the incident. For example, claimants
normal variable expenses not incurred as a should indicate whether they have received
result of the incident have to be deducted any payments or interim compensation 37
from the loss in revenue. Such variable costs from public authorities or other bodies in
fluctuate depending on the level of business connection with the incident.
achieved. The nature of items to be taken 3.4.7 The 1992 Fund has published a number of sets
into account would be business-specific but of guidelines to assist claimants in presenting
could include cost of purchases such as food, claims in specific sectors, including the tourism
hotel toiletries and goods for sale such as sector. All sets of guidelines are available on the
souvenirs, utilities such as fuel and electricity, IOPC Funds' website.
cleaning and maintenance costs. Any saved
labour costs should also be deducted from 3.5 CLAIMS FOR
the reduction in turnover. COSTS OF MEASURES
3.4.5 Claimants need to substantiate their loss TO PREVENT PURE
with appropriate evidence, including the ECONOMIC LOSS
following information:
● Nature of the loss, including evidence Scope of compensation
that the alleged loss resulted from the 3.5.1 Claims may be accepted for the costs of
contamination. measures to prevent or minimise pure
● Monthly breakdown of income for the economic loss, which if sustained, would
period of the loss and for the same period qualify for compensation under the 1992
for the previous three years. Conventions. Such measures may be aimed
at counteracting the negative impact of
● Where possible, monthly breakdown of
the pollution on the fishery and tourism
the number of units sold for the period of sectors. In order to qualify for compensation
the loss and for the previous three years the measures should fulfil the following
(for hotels the number of bedrooms let, for requirements:
campsites the number of pitches let, for
self-catering accommodation the number ● The cost of the measures should be
of weeks let, for restaurants the number of reasonable.
meals sold and for tourist attractions the ● The cost of the measures should not be
number of visitors/tickets sold; for other disproportionate to the further damage
businesses such as shops and bars, or loss that they are intended to mitigate.