LIABILITY INSURANCE - PROFESSIONAL INDEMNITY INSURANCE

(MDIS Ltd v Swinbank [1999] Lloyd’s Rep IR 516)

In MDIS Ltd v Swinbank [1999] Lloyd’s Rep IR 516 the Court of Appeal has upheld the decision of Mr Justice Mance at first instance in McDonnell Information Systems Ltd v Swinbank [1999] Lloyd’s Rep IR 98 as to the meaning of the insuring clause in a claims made professional indemnity policy. Although the wording was not typical, the decision makes it clear that the key issue for coverage purposes is the substance rather than the form of the third party claim.