Third-party rights: the effect of insolvency

In Desai v Wood [2025] EWCA Civ 906 the Court of Appeal has affirmed the decision of HHJ Paul Matthews [2025] Lloyd's Rep IR 203, confirming a potentially serious weakness in the Third Parties (Rights Against Insurers) Act 2010, namely that there is no protection for the victim of an assured who has been paid the insurance monies before becoming insolvent.

Wood: the background contract