Contractual one year limitation period in an insurance policy was deemed enforceable

A contractual one year limitation period which began to run from the date the "loss or damage" occurred applied to bar an insured's action against an insurer seeking a declaration that it owed the insured a defence.

Daverne v. John Switzer Fuels Ltd., [2015] O.J. No. 6853, 2015 ONCA 919, Ontario Court of Appeal, December 24, 2015, A. Hoy A.C.J.O., J.L. MacFarland and P.D. Lauwers JJ.A.

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Only One of Three Insurers had a Duty to Defend Alleged Oil Leak

The defendant vendor of a fuel oil tank which was alleged to have leaked sought a defence from its insurers under three separate liability insurance policies. One insurer was unable to rely on the limitation period in its policy and was required to provide a defence. The claims did not fall within coverage or were excluded under the two other policies.

Daverne v. John Switzer Fuels Ltd., [2015] O. J. No. 1589, March 31, 2015, Ontario Superior Court of Justice, G. Mew J.

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Limitation Period for Uninsured Motorist Coverage Doesn't Start to Run if the Police Report is Inaccurate

In a motor vehicle action, the limitation period for the plaintiff to make a claim for uninsured motorist coverage to his own insurer did not start to run until he was alerted that the driver and insurance information in the police report regarding the accident might be incorrect and it was reasonable for him to have relied on the information in the police report until that time.

Lingard v. Milne-McIsaac, [2015] O.J. No. 1569, March 31, 2015, Ontario Court of Appeal, P.D. Lauwers, C.W. Hourigan and G.I. Pardu JJ.A.

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Dismissal of Insureds Claim for Disability Benefits was Upheld on Appeal

Decision granting summary judgment dismissing insured's action was upheld on basis that insured did not meet qualifying conditions of disability policy and commenced action more than two years after becoming aware of disability.

Thompson v. Sun Life Assurance Co. of Canada, [2015] O.J. No. 1195, March 12, 2015, Ontario Court of Appeal, E.A. Cronk, E.E. Gillese and D. M. Brown JJ.A.

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The defendants brought a summary judgment application to have the plaintiff’s action dismissed as barred by the Limitations Act, 2002, S.O. 2002, c. 24, on the basis the plaintiff’s action was commenced two years and 21 days after the motor vehicle accident at issue.  The court dismissed the defendants’ limitation defence on the basis the plaintiff did not subjectively nor objectively know that her injuries were permanent in the 21 day period after the accident.

Zhu v. Matadar, [2015] O.J. No. 78, January 8, 2015, Ontario Superior Court of Justice, P.M. Perell J.

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The appeal of a decision finding that the contractual limitation period in a disability insurance policy was ambiguous and therefore unenforceable was dismissed.

Kassburg v. Sun Life Assurance Co. of Canada, [2014] O.J. No. 6222, December 29, 2014, Ontario Court of Appeal, D. Watt, K.M. van Rensburg and G.I. Pardu JJ.A.

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A decision that an insurer’s denial of benefits provided incomplete reasons for the denial as it did not enclose the report of a medical examiner relied on for the denial and that the limitation period did not start to run was held to be reasonable on judicial review.

Allstate Insurance Co. of Canada v. Klimitz, [2014] O.J. No. 5943, December 12, 2014, Ontario Superior Court of Justice, F.N. Marrocco, J.M. Spence and C.J. Horkins JJ.

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Contractual limitation period for making a claim against an excess motor vehicle insurer began to run from the time the insured had accumulated a body of evidence which would give him a reasonable chance of demonstrating that his claim exceeded the limits. Further, it was equitable in the circumstances that the insured was granted a four year extension for filing the claim.

Oliver v. Elite Insurance Co., [2014] N.S.J. No. 617, November 21, 2014, Nova Scotia Supreme Court, P.P. Rosinski J.

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An insured's application for benefits under a policy issued to his employer, submitted two and a half years after the deadline, was considered timely because the insured had not been provided with the policy or claims documents by his employer.

Nguyen v. SSQ Life Insurance Co., [2014] O.J. No. 5253, November 4, 2014, Ontario Superior Court of Justice, P.M. Perell J.

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Where a person is not a named insured on an automobile policy and that person operates a vehicle listed on that policy, the policy holder for the vehicle is not absolutely liable under section 258 of the Insurance Act, R.S.O. 1990, c. I.8, if that person is involved in a motor vehicle accident. Section 258 will not be engaged unless it is established that the operator of the vehicle was an insured under the policy. To be an insured under the policy, the operator of the vehicle must have been either a named insured or a person driving with the named insured’s consent at the time of the accident, and the vehicle being driven must have been owned by a named insured.

Brown v. Belair v. Wawanesa, [2014] O.J. No. 4638, October 2, 2014, Ontario Superior Court of Justice, S.E. Firestone J.

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