Settlement not authorised by insurers is not an occurrence (Australian case)

By Patrick Bracher (ZA) on May 14, 2018 Posted in Insurance

A refurbishment contract entered into by the insured led to arbitration which the insured settled without the insurer’s authority on the basis of a ‘cap and collar’, capping the award if the claimant was successful and agreeing to a payment of USD2 million if the claim failed. The claim failed and the insured claimed the USD2 million … Continue reading

Notification of event likely to give rise to a claim requires at least 50% chance of claim (UK case)

By Patrick Bracher (ZA) on February 16, 2017 Posted in Insurance

The policy obliged the insured to ‘give notice in writing to the insurer as soon as possible after the occurrence of any event likely to give rise to a claim with full particulars thereof’. An employee was injured at work using a gun for attaching wire together on 22 September 2011. At the time of the … Continue reading

Notification to an insurer of circumstances likely to give rise to a claim

By Donald Dinnie on March 28, 2014 Posted in Insurance

Where is the line between the notification to an insurer of circumstances likely to give rise to a claim and a notification just in case a claim arises? The notification obligation has to be applied objectively but taking into account the insured’s knowledge. An insured need not infer the likelihood of a claim from the … Continue reading