Canada Insurance Lawyer & Attorney : Michael Thomas of Harper Grey Law Firm : British Columbia, Vancouver

Fitzpatrick was in the business of collecting and selling urine from pregnant mares. His operation was insured under a commercial general liability policy with a livestock floater attached. Damage to the mare’s fetuses, which did not affect the mares but caused a financial loss to Fitzpatrick due to his inability to sell their urine, was insured under the livestock floater of his CGL policy.

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An insurance company has an obligation to ensure that a policyholder has been notified of any failure to renew a homeowner’s insurance policy. If the insurance company fails to notify its former insured that the policy has lapsed, the insurance company is responsible to compensate its former insured for the loss that would have been insured under the policy.

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A release obtained by an adjuster was not binding because prior to obtaining the release the adjuster failed to obtain all of the relevant medical information necessary to assess the claim, and because the adjuster dissuaded the releasee from consulting with a lawyer.

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This is an appeal from an interlocutory decision obliging the Appellant, Optimum Insurance Company, to defend its insured and pay the cost of independent counsel in an action arising from a motor vehicle accident. The appellant insurer sought a stay of the matter pending the outcome of another matter deciding the same issues. The court upheld the lower court finding that there was a duty to defend, regardless of whether there were parallel proceedings and refused to grant a stay.

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This appeal deals with the interpretation of a contract for additional underinsured motorist coverage and the application of the "collateral benefits rule". The appeal court allowed the appellant insurer to set off against its own liability present and future long-term disability benefits received by the insured, pursuant to a private contract with another insurer. The appeal court held that the insurer enjoyed both a right of subrogation and an entitlement to an assignment with respect to its insured’s LTD benefits awarded because of a disability caused by the insured accident.

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An air compressor towed behind a modified truck is not a "trailer" and is therefore not to be included as a component of the vehicle’s weight. Because the truck could not be classified as a "heavy commercial vehicle" subject to a loss transfer claim, the appeal of an arbitrator’s decision regarding a "loss transfer" claim for statutory benefits paid by one insurer to another in respect of a MVA was dismissed.

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This was an application by the Insurance Corporation of British Columbia for a declaration pursuant to the Bankruptcy and Insolvency Act that a judgment against a driver for an intentional act of violence by means of a vehicle survives the discharge provisions of the Act. The court held that section 178 of the Act, which states that a judgment for damages similar in nature to a fine, penalty or restitution order was immune from discharge under the Act, applied, and the judgment debt to ICBC therefore survived the respondent’s bankruptcy.

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The Plaintiff’s action, in which it was alleged that the Defendant insurer engaged in a systematic process of directing the use of non-original equipment manufacturer parts when effecting repairs to vehicles damaged in collisions, was certified as a class proceeding under the Class Proceedings Act.

Here is a link to the decision.

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The Court of Appeal upheld a trial decision holding that an insurer ("Royal") was entitled to rely on an exclusion clause denying coverage for "loss or damage resulting from the intentional or criminal acts of … any person insured by this policy" where the insured homeowner’s ("Torchia’s") husband committed arson in destroying Torchia’s home. The court rejected the argument that the wording of the exclusion clause was ambiguous and could be interpreted to only exclude losses suffered by the person committing the act.

Here is a link to the decision.

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The issuer of a motor vehicle policy ("Royal") was successful in appealing a trial decision that it was obligated to provide coverage for a third party claim in excess of the $200,000.00 minimum statutory limit where the policy holder made fraudulent representations in the policy application.

Here is a link to the decision.

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