We use cookies to improve your website experience. To learn about our use of cookies and how you can manage your cookie settings, please see our Cookie Policy. By continuing to use the website, you consent to our use of cookies. Close

Insurance Law Monthly RSS feed

Liability insurance: aggregation

Online Published Date : 29 March 2021 | Appeared in issue: Vol 33 No 3 - 29 March 2021

The law has, in the context of aggregation clauses, drawn a clear distinction between “events” (the what) and “original causes” (the why). To date most of the cases have concerned events and relatively few have involved the definition of originating cause. The judgment of HHJ Pelling QC in Spire Healthcare Ltd v Royal & Sun Alliance Insurance plc [2020] EWHC 3299 (Comm); [2021] Lloyd’s Rep IR Plus 7 contains an excellent analysis of the latter.

Business interruption insurance: infectious diseases

Online Published Date : 29 March 2021 | Appeared in issue: Vol 33 No 3 - 29 March 2021

In HDI Global Specialty SE v Wonkana No 3 Pty Ltd [2020] NSWCA 296, a test case involving two policies more or less identically worded, the New South Wales Court of Appeal considered exclusions from cover for losses arising from infectious diseases identified by Australian legislation. The difficulty was that the legislation referred to in the policy had been repealed four years earlier, and therefore had not contemplated Covid-19, and had subsequently been replaced by another Act which for the first time referred to Covid-19.

Business interruption: infectious diseases extensions

Online Published Date : 29 March 2021 | Appeared in issue: Vol 33 No 3 - 29 March 2021

The latest case to grapple with the coverage of business interruption insurance in response to the Covid-19 pandemic is that of the Irish High Court in Hyper Trust Ltd v FBD Insurance plc [2021] IEHC 78; [2021] Lloyd’s Rep IR Plus 6. This was the hearing of four test cases, representing some 1,300 others, based on FBD’s standard business interruption policy wording for public houses. The evidence showed that FBD had a long-standing relationship with the Vintners Federation of Ireland, a trade association representing Irish publicans, from which it may be assumed that the wording of the policies had been thought suitable for the industry – at least until the outbreak of the pandemic.