Page 85 - claims information pack ebook_e

Guidelines for presenting claims in the tourism sector

2.6 Businesses or organisations that rely on
tourists or leisure visitors for all or part of Example
their income are entitled to make a claim for A laundry in a coastal area may consider
economic loss where they can prove that that it serves tourists. However, a large part
their gross profit was negatively affected by of its trade may come from businesses that
the pollution. You will need to show that all serve the tourist industry, such as hotels and
or a significant part of the demand for your restaurants, rather than directly from tourists.
business services is generated by tourist or In this case, any link between the pollution
leisure visitors. Employees working for and the laundry is dependent on the service
a business are not eligible to claim. provider (the hotels and restaurants) and the

2.7 Compensation is paid for loss of gross laundry is therefore not considered eligible
profit (revenue less direct operating costs) for compensation.
8 directly caused by the contamination. If any
other organisation stands between you and
the tourist or leisure visitor, then your claim
will not be admissible. There should be a
sufficiently close link of causation between
the contamination and the economic loss,
which is assessed taking into account the
factors set out in paragraph 2.5.
2.8 Experience has shown that the impact of an
incident normally lasts for a limited period.
We recognise that the loss of key staff could
be detrimental to the ability of your business
to recover following the end of the incident.
Therefore if you employ personnel to work
in your business, we would not expect you
to reduce the number of full time staff in
permanent employment. If, however, you
choose to terminate employees’ contracts,
any saving you make as a result will be
considered in the assessment of your claim.
2.9 If you work for a business in a tourism-
related industry, for example in a restaurant,
then your employers would normally make a
claim for economic loss, and continue to pay
your salary. The conditions of employment
would be regulated by your contract. The
assessment of your employers’ claim would
therefore take into consideration the wage
costs of the employees, and a separate
claim for wages would therefore not be
considered.