Insurance Law Monthly

The Court of Appeal in W R Berkley Insurance (Europe) Ltd and Another v Teal Assurance Co Ltd [2017] EWCA Civ 25 has dismissed an appeal against the first instance decision of Eder J [2016] Lloyd’s Rep IR 134 on the question of allocation of losses to a liability policy. The case turned on the construction of a settlement agreement.

The New Zealand Court of Appeal in Miah v National Mutual Life Association of Australasia Ltd [2016] NZCA 590 has reversed the decision of Associate Judge Dougue of the High Court of New Zealand, [2015] NZHC 993 as regards the benefits of a joint names life insurance policy following the bankruptcy of one of the parties. The case is of interest for its discussion of English authorities on the same point.

The system for providing compensation to the victim of a motor accident while in another member state is set out in the Fourth Motor Insurance Directive, European Parliament and Council Directive 2000/26/EC. The provisions of that Directive were amended slightly by the Fifth Motor Insurance Directive, European Parliament and Council Directive 2005/14/EC and the entire regime was consolidated by the Consolidated Motor Insurance Directive, European Parliament and Council Directive 2009/103/EC.

With effect from 6 April 2017, the Riot (Damages) Act 1886 has been replaced by the Riot Compensation Act 2016. The 2016 Act implements the recommendations of a review of the 1886 Act brought about by the riots in England in 2011, which demonstrated a number of difficulties with the law as it stood. There is no major change of principle involved in the 2016 Act, but there is additional protection for police authorities in respect of damages claims.

Under section 145(3) of the Road Traffic Act 1988 a compulsory policy must cover liability for death or personal injury “caused by, or arising out of, the use of the vehicle on a road or other public place”. There is a good deal of authority on the meaning of the phrase “caused by or arising out of”, the latest ruling being that of Master Davidson in Wastell v Woodward and Chaucer Syndicates Ltd 28 February 2017, unreported. The facts were by any standards borderline.