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CHUBB INSURANCE CO OF EUROPE SA v DAVIES

[2005] Lloyd's Rep IR 1

Insurance (directors and officers liability) - Claim brought by third parties against director - Judgment given to third parties - Appeal by director - Liability insurers seeking declaration of non-liability - Whether third parties should be joined as co-defendants - Whether insurers’ action should be stayed pending director’s appeal - CPR Parts 19 and 24.

COLLEGE CREDIT LTD v NATIONAL GUARANTEE CORPORATION LTD

[2005] Lloyd's Rep IR 5

Insurance (credit) - Assured providing finance for obtaining motor vehicles on credit - Assured also providing finance for consumer insurances - Whether underwriting criteria in policy to include cost of consumer insurances.

CRAFT ENTERPRISES (INTERNATIONAL) LTD v AXA INSURANCE CO

[2005] Lloyd's Rep IR 14

Insurance - Open cover - Certificates issued under Open Cover - Exclusive jurisdiction clause - Clause providing for Swiss law and practice but giving the party who had title to goods the option have claims settled according to English law and practice - Whether option available to holder of Open Cover - Whether clause extending to jurisdiction.

MAYBAN GENERAL INSURANCE BHD v ALSTOM POWER PLANTS LTD

[2005] Lloyd's Rep IR 18

Insurance (marine) - All risks cargo insurance - Exception for inherent vice and unsuitable packing - Electrical transformer damaged in transit - Whether loss caused by marine peril - Whether loss caused by unsuitable packing.

NORMHURST LTD v DORNOCH LTD

[2005] Lloyd's Rep IR 27

Insurance (fire and business interruption) - Action for damages for consequential loss suffered by assured by reason of refusal of insurers to make payment - Whether damages payable.

TONICSTAR LTD v AMERICAN HOME ASSURANCE CO

[2005] Lloyd's Rep IR 32

Reinsurance - Conflict of laws - Anti-suit injunction - Proceedings started in England by claimants - Proceedings started by defendants in New York four days later - Defendants discovering that agreement contained an arbitration clause and commencing arbitration in New York - Application by defendants in England for stay of English proceedings under Arbitration Act 1996, section 9 - Application by claimants in English court for determination of seat of arbitration - Whether England the natural forum for the litigation - Whether reinsurance and arbitration agreements governed by English law - Whether defendants behaviour unconscionable or oppressive.

TRYG BALTICA INTERNATIONAL (UK) LTD v BOSTON COMPANIA DE SEGUROS SA

[2005] Lloyd's Rep IR 40

Reinsurance - Conflict of laws - Reinsurance in London of risk insured in Argentina - Application by reinsurers for negative declaratory relief - Whether English court had jurisdiction to give permission for service outside the jurisdiction - Whether agent trading within jurisdiction - Civil Procedure Rules Part 6.20 - Whether England most appropriate jurisdiction - Whether appropriate to grant declarations.

CARVILL AMERICA INC v CAMPERDOWN UK LTD

[2005] Lloyd's Rep IR 55

Reinsurance - Conflict of laws - Liability for brokerage - US insurers appointing brokers in US to place reinsurance - Agreement providing that brokers would be paid by reinsurers as was customary - Reinsurance placed in England - Reinsured ending appointment of brokers - Action by brokers against reinsurers seeking brokerage - Whether reinsured a necessary and proper party to the proceedings - Whether agreement excluded liability of reinsured for brokerage - Whether custom and practice in London market that reinsurers alone liable for brokerage - Whether England the most appropriate forum for hearing of action against reinsured - CPR, rr 6.20.3 and 6.21(2A).

LUMBERMEN MUTUAL CASUALTY CO v BOVIS LEND LEASE LTD

[2005] Lloyd's Rep IR 74

Insurance (construction of professional liability policy) - Assured reaching a settlement with third party - Settlement encompassing claims and counterclaims - No allocation for amount of assured’s liability - Whether assured’s liability had been ascertained - Whether insuring clause applied only to negligence - Whether assured could recover in respect of breach of warranty of construction contract.

MARKEL INTERNATIONAL INSURANCE CO LTD v LA REPUBLICA COMPANIA ARGENTINA DE SEGUROS

[2005] Lloyd's Rep IR 90

Reinsurance - Conflict of laws - Utmost good faith - Whether fraud of producing broker a material fact - Whether premium-skimming a material fact - Whether England the most appropriate forum.

MUNCHENER RUCKVERSICHERUNGS GESELLSCHAFT v COMMONWEALTH INSURANCE CO

[2005] Lloyd's Rep IR 99

Reinsurance - Conflict of laws - Forum non conveniens - Retrocession between a Canadian cedant and the London branch of the retrocessionaire - Contract made in England and governed by English law - Disputes as to meaning of retrocession - Service of English proceedings on cedant in Canada - Subsequent action by cedant in California against retrocessionaires and producing brokers - Whether action should be heard in England - Effect of contingent action against brokers - Whether retrocessionaires submitted to jurisdiction of Californian court by service of suit clause.

ROYAL & SUN ALLIANCE INSURANCE PLC v RETAIL BRAND ALLIANCE INC

[2005] Lloyd's Rep IR 110

Insurance - Conflict of laws - Assured covered by master policy and by local policy - Master policy applied only if there was no cover under the local policy - Proceedings commenced by local policy insurers in New York under that policy and by master policy insurers in England under that policy - Whether English proceedings should be stayed.

TIOXIDE EUROPE LTD v CGU INTERNATIONAL INSURANCE PLC

[2005] Lloyd's Rep IR 114

Insurance (product liability) - Excess policies incorporating terms of first layer policy - Supply of pigment which caused “pinking” when used in pvc door and window frames - Whether pinking was “on account of physical injury” - Whether there was an “accident, including continuous or repeated exposure to the same general harmful conditions - Whether loss notification option complied with - Whether option’s requirements waived - Whether damage was “neither expected nor intended” - Whether assured in breach of reasonable care provisions.

FRIENDS PROVIDENT LIFE AND PENSIONS LTD v SIRIUS INTERNATIONAL INSURANCE CORPORATION

[2005] Lloyd's Rep IR 135

Insurance (professional indemnity) - Primary layer policy imposing condition precedent that claims be notified as soon as possible during period of insurance - Excess layer policies incorporating terms of primary layer policy - Effect of incorporation - Whether extended cover under first layer policy incorporated into excess layer policies - Whether notification to brokers appointed by primary layer insurers was also given to excess layer policies - Whether notification clause a condition precedent to liability - Effect of breach of notification clause if not a condition precedent.

GRECOAIR INC v TILLING

[2005] Lloyd's Rep IR 151

Reinsurance (aviation) - Claimants insuring with local insurer in Angola and insurers reinsuring in London market - Aircraft damaged - Allegation by claimants of agreement whereby reinsurers undertook direct liability to claimants - Whether action could be brought by claimants against reinsurers under reinsurance or under separate agreement.

HAZEL (FOR LLOYD’S SYNDICATE 260, T/A KGM MOTOR POLICIES AT LLOYD’S) v WHITLAM

[2005] Lloyd's Rep IR 168

Insurance (motor) - Non-disclosure - Question on proposal form asking about the assured’s occupation - Assured’s answer changed by broker - No reference to assured’s part-time professional golf traineeship - Whether insurers entitled to avoid policy.

O’KANE v. JONES (THE “MARTIN P”)

[2005] Lloyd's Rep IR 174

Insurance (marine) - Two policies on vessel’s hull and machinery - Second policy cancelled after vessel became constructive total loss - Whether underwriters under first policy entitled to contribution from second insurers - Existence of double insurance - Identity of assureds under two policies - Whether managers of vessel had insured on behalf of owners - Agency - Insurable interest - Measure of contribution - Whether second policy voidable for non-disclosure of non-payment of premiums under first policy - Materiality, inducement and affirmation - Whether second policy void for mutual mistake - Marine Insurance Act 1906, sections 18, 26, 32 and 80.

BEAZLEY v HORIZON OFFSHORE CONTRACTORS INC

[2005] Lloyd's Rep IR 231

Insurance (marine) - Conflict of laws - Exclusive jurisdiction clause nominating English courts - Action by insurers seeking negative declaratory relief by reason of misrepresentation and non-disclosure - Action on policy by assured in Texas - Action against assured by third party in Texas - Whether English proceedings should be stayed - Whether appropriate to grant anti-suit injunction.

BLACKBURN ROVERS FOOTBALL AND ATHLETIC CLUB PLC v AVON INSURANCE PLC

[2005] Lloyd's Rep IR 239

Insurance (injury and disablement) - Professional footballer suffered injury which ended his career - Club obtaining policy against risk of injury to players - Exclusion for Permanent Total Disablement attributable either directly or indirectly to arthritic or other degenerative conditions - Proper construction of exclusion - Whether injury falling within exclusion.

COMMISSION OF THE EUROPEAN COMMUNITIES v FRENCH REPUBLIC

[2005] Lloyd's Rep IR 247

Insurance (motor) - Bonus-malus system imposed by French law - Premiums to be assessed by reference to accidents suffered by assured - Whether system contrary to Council Directives 72/239/EEC and 92/49/EEC.

DOHENY v NEW INDIA ASSURANCE CO LTD

[2005] Lloyd's Rep IR 251

Insurance - Property policy - Assureds declaring that any company in which they had been involved had not been declared bankrupt - Assureds involved with insolvent companies subsequently wound up - Whether such companies “bankrupt” - Whether duty of disclosure waived - Marine Insurance Act 1906, section 18(3)(c).

EPIKOURIKO KEFALAIO v ANAPTIXIS

[2005] Lloyd's Rep IR 259

Insurance - Regulation of insurance undertakings - Solvency margin - Winding up - Whether national law could give prior claim to employees of insurer.

FREAKLEY v CENTRE REINSURANCE INTERNATIONAL CO

[2005] Lloyd's Rep IR 264

Insurance (liability) - Reinsurance - Debtor companies incurring substantial liabilities for asbestos claims - Debtor companies becoming insolvent and going into administration in United Kingdom - Application by debtor companies in United States for relief under Chapter 11 - Declarations sought by administrators - Whether agreed plan involved transfer of rights or liabilities by debtor companies - Effect on claims handling.

HAWLEY v LUMINAR LEISURE PLC

[2005] Lloyd's Rep IR 275

Insurance (public liability) - Second defendant providing security services for first defendant - Claimant injured at first defendant’s premises by door steward employed by second defendant - Whether first defendant vicariously liable for tort of second defendant’s employee - Whether door steward a temporary employee of first defendant - Whether second defendant’s public liability insurers liable to provide indemnity - Whether claimant’s injury caused by “sudden, unforeseen, fortuitous and identifiable” act.

KEELEY v PASHEN

[2005] Lloyd's Rep IR 289

Insurance (motor) - Claim by widow of victim of driver convicted of manslaughter - Car used as mini-cab - Car driven at passenger after alighting - Whether car being used for social domestic or pleasure purposes - Whether car being used for hire or reward - Road Traffic Act 1988, section 151.

SIRIUS INTERNATIONAL INSURANCE CO (PUBL) v FAI GENERAL INSURANCE LTD

[2005] Lloyd's Rep IR 294

Reinsurance - Agreement for fronting arrangement supported by back to back retrocession - reinsurers requiring letter of credit - Agreement that no draw down was possible until retrocessionaires agreed that reinsurers should pay a claim - Dispute between parties resolved by Tomlin order - Whether Tomlin order amounted to agreement that reinsurers should pay a claim - Whether reservation of rights in Tomlin order in relation to letter of credit overrode right to recover under letter of credit following agreement that payment should be made.

CENTRE REINSURANCE INTERNATIONAL CO v FREAKLEY

[2005] Lloyd's Rep IR 303

Insurance (employers’ liability) - Asbestos claims - Insured becoming insolvent - Claims against liability insurers under Third Parties (Rights against Insurers) Act 1930 - Effect of policy deductible - Policy providing that control of claims to be transferred to insurer on insolvency of insured - Effect of transfer of rights in advance of statutory insolvency event - Whether claims clauses to be disregarded on basis that rights of third parties were altered - 1930 Act, section 1(3) - Whether insured entitled to be reimbursed in respect of claims-handling costs - Whether claims-handling costs forming a part of costs of administration - Insolvency Act 1986, section 19.

SWISS REINSURANCE CO v UNITED INDIA INSURANCE CO LTD

[2005] Lloyd's Rep IR 341

Reinsurance - Construction all risks policy issued by insurers - Policy covering material damage for 44 months during work and also losses in post-completion maintenance period - Policy providing that in event of works being halted cover would continue for six months - Works coming to an end when contractors walked off site - Policy brought to an end after expiry of six-month period - Whether insurers in breach of contract by treating themselves as discharged after six-month period - Whether premium in respect of maintenance period recoverable for total failure of consideration - Whether risks under policy divisible for purposes of payment of premium.

TEKTROL LTD v INTERNATIONAL INSURANCE CO OF HANOVER LTD

[2005] Lloyd's Rep IR 358

Insurance (business interruption) - Loss of source code by virus and by subsequent burglary - Policy excluding loss of information on computer systems or other records directly or indirectly caused by malicious persons - Whether loss of source code directly or indirectly caused by virus - Whether loss by burglary covered by policy.

AXA GENERAL INSURANCE LTD v GOTTLIEB

[2005] Lloyd's Rep IR 369

Insurance (buildings) - Fraudulent claim - Assured making excessive claim - Claims made for losses not incurred by assured - Full payment by insurers - Whether insurers entitled to return of payments - Whether assured entitled to keep that part of the payments which reflected genuine loss - Whether interim payments made prior to fraudulent claim recoverable by insurers.

GOSHAWK DEDICATED LTD v TYSER & CO LTD

[2005] Lloyd's Rep IR 379

Insurance brokers - Placing, claims and accounting documents in possession of brokers - Whether underwriters legal or equitable owners of documents - Whether implied obligation on brokers to disclose documents to underwriters - Whether custom of Lloyd’s market that brokers must disclose documents to underwriters - Effect of Terms of Business Agreements 2001.

MARC RICH AGRICULTURE TRADING SA v FORTIS CORPORATE INSURANCE NV

[2005] Lloyd's Rep IR 396

Insurance (theft of cargo) - Assured failing to disclose various matters relating to claim - Whether breach of continuing duty of good faith - Whether claim fraudulent.

NORTH STAR SHIPPING LTD v SPHERE DRAKE INSURANCE PLC THE NORTH STAR

[2005] Lloyd's Rep IR 404

Insurance (marine) - Procedure - Striking out - War risks policy - Vessel damaged by explosive device - Proceedings brought for constructive total loss - Insurers denying liability - Claimants later attempting to amend points of claim to include claim for cost of suing and labouring measures - Whether amendment permissible - Nature of claim for suing and labouring expenditure.

STANDARD STEAMSHIP OWNERS’ PROTECTION AND INDEMNITY ASSOCIATION (BERMUDA) LTD v GIE VISION BAIL

[2005] Lloyd's Rep IR 407

Insurance - P&I Club - Concessionaire requesting assured to obtain insurance cover against concessionaire’s liability to employees on board the assured’s vessels - Concessionaire added to assured’s P&I Club cover - Rules contained exclusive jurisdiction clause - Whether concessionaire bound by exclusive jurisdiction clause under Rules - Whether clause valid under Article 23 of European Council Regulation 44/2001 - Whether clause precluded by Articles 12-14 of the Regulation.

TOOMEY v BANCO VITALICIO DE ESPANA SA DE SEGUROS Y REASSEGUROS

[2005] Lloyd's Rep IR 423

Reinsurance - Direct policy against loss of television rights in event that Spanish football team was relegated from Spanish first division - Whether policy written on agreed value or subject to proof of loss - Identity of insured person under policy - Reinsurance of policy on full reinsurance basis - Content of full reinsurance clause - Whether clause a warranty as to compliance of direct policy with stated terms - Whether warranty in reinsurance relating to nature of underlying insurance.

ALLIANZ MARINE AVIATION (FRANCE) v GE FRANKONA REINSURANCE LTD LONDON THE “TREASURE BAY”

[2005] Lloyd's Rep IR 437

Reinsurance - Direct policy on floating casino by insurers with 45.238 per cent line - Reinsurance obtained by insurers - Reinsurance containing a follow the settlements clause and made subject to a deductible of US$5 million each vessel, each accident - Casino damaged by insured peril - Whether deductible to be applied to total amount of settlement or insurers’ 45.238 per cent of settlement.

BLACKBURN ROVERS FOOTBALL & ATHLETIC CLUB LTD v AVON INSURANCE PLC

[2005] Lloyd's Rep IR 447

Insurance (injury and disablement) - Professional footballer suffered injury which ended his career - Club obtaining policy against risk of injury to players - Exclusion for Permanent Total Disablement attributable either directly or indirectly to arthritic or other degenerative conditions - Proper construction of exclusion - Whether injury falling within exclusion.

BRETTON v HANCOCK

[2005] Lloyd's Rep IR 454

Insurance (motor) - Road Traffic Act 1988, section 143 - Claimant passenger injured in motor accident - Driver not insured - Accident partly caused by defendant - Whether claimant was a “user” of the vehicle - Allocation of responsibility between driver and defendant - Whether driver’s lack of insurance gave defendant counterclaim against claimant for using vehicle without insurance.

FORTISBANK SA v TRENWICK INTERNATIONAL LTD

[2005] Lloyd's Rep IR 464

Insurance (financial discounting fraud) - Policy requiring assured to bring proceedings against underwriters within 24 months of discovery of loss - Whether proceedings barred - Date on which assured discovered loss - Whether implied agreement by underwriters not to rely on time-limits - Whether underwriters estopped by representation or convention.

SPRIGGS v WESSINGTON COURT SCHOOL LTD DENNIS JAMES EAGLES WORCESTERSHIRE COUNTY COUNCIL TRAFFORD BOROUGH COUNCIL DEPARTMENT FOR EDUCATION AND SKILLS ROYAL AND SUN ALLIANCE PLC

[2005] Lloyd's Rep IR 474

Insurance (liability) - Third party rights - Liability policy issued to school - Claims by pupils subsequently made against school - Period during which liability insurers on risk - Policy voidable for non-disclosure of material facts - Whether policy affirmed by communications by insurers to claimant pupil.

THOR NAVIGATION INC v INGOSSTRAKH INSURANCE

[2005] Lloyd's Rep IR 490

Insurance (marine, hull and machinery) - Constructive total loss of insured vessel - Measure of indemnity - Whether policies valued or unvalued - Whether policies should be rectified - Whether insurers were estopped from denying that policies were valued - Insurable value - Marine Insurance Act 1906, sections 16, 27, 28 and 68.

KING v BRANDYWINE REINSURANCE CO

[2005] Lloyd's Rep IR 509

Reinsurance - General Corporate Excess policy by Exxon and affiliates - Oil pollution following grounding of Exxon Valdez - Assureds incurring clean-up costs and liability - Settlement of claims by insurers - Whether insurers proving liability at law - Law applicable to GCE policy - Effect of arbitration and service of suit clauses - Whether oil spill amounted to “debris” - Effect of “notwithstanding” clause.

ROYAL & SUN ALLIANCE INSURANCE PLC v DORNOCH

[2005] Lloyd's Rep IR 544

Reinsurance - Directors and Officers insurance - Claims control clause in reinsurance agreement - Obligation on reinsured to notify loss or losses within 72 hours of knowledge of loss - Whether “loss or losses” referred to losses of third party claimants or losses suffered by assured in following claims - Whether reinsured had “knowledge” of losses.

LIMIT (NO 3) LTD v PDV INSURANCE CO

[2005] Lloyd's Rep IR 552

Reinsurance - Conflict of laws - Direct risk and reinsurance written in Venezuela and retroceded into London - Application by retrocessionaires for declaration of non-liability - Retrocession containing disputes clause - Whether clause conferring jurisdiction on the English courts - Whether action more conveniently heard in England or Venezuela.

BONNER v COX DEDICATED CORPORATE MEMBER LTD

[2005] Lloyd's Rep IR 569

Reinsurance - Energy risks insured under Open Cover - Reinsurance issued as standing offer to subscribers to Open Cover - Whether brokers’ knowledge of loss prior to acceptance of reinsurance cover was a material fact - Whether reinsurers induced - Whether misrepresentations made to reinsurers as to duration and nature of direct risks under Open Cover - Whether implied term that reinsured would not “write against” the reinsurance - Nature of terms to be implied into a reinsurance agreement - Whether reinsurance covered long-term risks re-signed into the period of coverage.

AMERICAN INTERNATIONAL MARINE AGENCY OF NEW YORK INC v DANDRIDGE

[2005] Lloyd's Rep IR 643

Reinsurance - Direct marine policy requiring following market to follow settlements of leader - Reinsurance agreement expressed to be subject to same terms and conditions as original - Effect on reinsurance of lapse of insured vessel’s classification.

CNA INSURANCE CO LTD v OFFICE DEPOT

[2005] Lloyd's Rep IR 658

Insurance - Conflict of laws - Proceedings brought by insurers in England and by assureds in Florida - Agreement to stay Florida proceedings - Subsequent action brought in Florida - Whether insurers entitled to anti-suit injunction - Whether assureds entitled to stay of English proceedings.

PAINE v CATLINS AND OTHERS

[2005] Lloyd's Rep IR 665

Insurance (fire) - Policy on hotel - Condition precedent to recovery that flues were cleaned annually and that extraction hoods were cleaned monthly - Further reasonable care condition - Fire breaking out in canopy extraction duct - Whether flue or extraction hood - Whether assured in breach of reasonable care condition.

LLR: Insurance & Reinsurance