NIG is being sued by Adil Catering Limited (ACL), a company which runs Burger King franchises, in a £500,000 liability dispute relating to a fire at a building owned by ACL.
ACL claims that NIG agreed to insure an Aylesbury pub which Adil owned and intended to convert into a Burger King "drive thru".
ACL says that on 9 September 2003, NIG agreed to insure the pub "in respect of, among others, the risk of loss, damage and destruction at the premises by fire subject to a limit of indemnity of £500,000".
According to ACL, on 15 September 2003, NIG issued a schedule confirming the addition of the pub to ACL's policy with effect from 9 September 2003.
On the evening of 14 September 2003, or in the early hours of 15 September, there was a fire at the pub which "caused serious damage to the premises and to the fixtures and fittings therein".
ACL consequently made a claim under its policy with NIG.
But ACL claims that NIG has "refused to confirm its liability to indemnify ACL".
An NIG spokesman said: "We are still in discussions with the claimant and cannot comment further on the case."
