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CHAPTER 10 Exclusions

Law of Liability Insurance

Page 88 CHAPTER 10 Exclusions 10.1 The nature of exclusions Exclusions define the scope of the cover, however, in negative terms: an exclusion qualifies the ordinary and literal reading of one or more of the insuring clauses, 1 and limits the extent of the cover provided by them. Exclusions are usually set out in a separate section of liability policies headed “Exclusions”; this is usually sufficient to distinguish them from what insurance law calls “warranties”, which are usually found in a section of policies headed “Conditions”. 2

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