Insurance Law Monthly
Lloyd’s
The Court of Appeal in Poole v HM Treasury [2007] EWCA Civ 1021 has upheld the decision of Langley J, [2007] Lloyd’s Rep IR 114, dismissing an action by Lloyd’s Names seeking damages against the UK Government for failing to implement EC law so as to protect them against underwriting losses. The first instance decision was discussed in the February 2007 issue of Insurance Law Monthly.
Poole: the facts
The claimants were Lloyd’s Names who had been active in the market in the 1980 to 1996 and who had all suffered substantial
underwriting losses. Following the adoption by Lloyd’s of the Reconstruction and Renewal Scheme in 1996, the claimants were
required to pay reinsurance premiums to Equitas to cover potential future liabilities. Various actions had been brought against
Lloyd’s itself, both by Names who had paid premiums to Equitas and by Names who had refused to do so. All of those actions
failed, for the most part because of the statutory immunity conferred upon Lloyd’s under the Lloyd’s Act 1982.