ZURICH INSURANCE PLC V UMERJI

[2014] EWCA Civ 357, Court of Appeal, Lord Justice Moses, Lord Justice Underhill and Sir Robin Jacob, 25 March 2014

Insurance (motor) - Credit hire - Recovery of costs of hiring replacement vehicle - Recovery of storage charges

The claimant's vehicle, a Mercedes worth about £8,000, was written off in a road traffic accident on 19 October 2010. The claimant entered into a credit hire agreement, and that was extended ultimately to a period of 591 days. The total rental was £95,130.14 (representing a rate of about £161 per day). He was ultimately paid the value of his Mercedes by the insurers of the negligent driver, and he purchased a replacement car on 16 November 2012. The claimant also incurred recovery and storage charges relating to his Mercedes, in the sum of £3,420.75. The judge gave judgment for the claimant against the insurers in the sum of £101,559.36. The insurers appealed.