The Ultra Processor No. 1 - Supreme Ct. of Brit. Columbia (McLachlin J.) - 15 July 1983

Marine insurance - Responsibilities and liabilities of Brokers

Those having an interest in a large fish processing barge instructed their broker to arrange hull and machinery as well as loss of profits insurance coverage. The broker arranged the coverage using the offices of intermediaries in both Vancouver and London. On enquiry, the assureds were told by the broker that all of the coverage was placed with Lloyd’s and I.L.U. companies when in fact, as was known to the Broker, 25% of the loss of profits coverage was placed with “fringe market” security.