Material damage and business interruption: coverage and exclusions

In Glass Recovery Services Pty Ltd v Certain Underwriters at Lloyd's [2026] VSC 314 Matthews J in the Supreme Court of Victoria discussed the operation of an Industrial Special Risks Policy covering both material damage and business interruption in circumstances where a regulatory authority removed and destroyed the assured's property. Ultimately there was found to be no coverage under the policy, both by reason of the absence of any insured peril and the operation of a number of exceptions.

The facts