Inconsistent Limitation Periods in Policy Materials Resulted in the Insurer’s Loss of the Limitations Defence

17. February 2015 0
The appeal of a decision finding that the contractual limitation period in a disability insurance policy was ambiguous and therefore unenforceable was dismissed. Insurance law – Disability insurance – Group insurance – Interpretation of policy – Long term disability benefits – Limitation of actions – Running of limitation period – Discoverability – Contra proferentum rule ...

Where a House was Deemed Unsafe for Occupancy, Title Insurance was Found not to Cover the Loss

17. February 2015 0
The applicant homeowners’ summary judgment application brought against their title insurer for breach of contract and breach of good faith was dismissed on the basis that the loss was not covered. Insurance law – Title insurance – Policies and insurance contracts – Interpretation of policy – Coverage – Good faith breach of MacDonald v. Chicago ...

Property Damage Claim Excluded for “Faulty Workmanship”

05. September 2014 0
The insured’s property damage claim under a homeowner’s policy for damage to her house alleged to have been caused by a contractor fell within the “faulty workmanship” exclusion of the insured’s insurance policy, which also excluded resulting damage from faulty workmanship. Monk v. Farmers’ Mutual Insurance Co. (Lindsay), [2014] O.J. 3509, June 27, 2014, Ontario ...

Farmer’s Bodily Injuries From ATV Accident Not Covered

05. September 2014 0
A farmer’s action for damages for bodily injuries and accident benefits arising out of an accident that occurred while he was driving an uninsured all-terrain vehicle on a public road was statute barred by virtue of the operation of Ontario’s 267.6(1) of the Insurance Act and s. 30(1)(a) of the Statutory Accident Benefits Schedule. Although ...

Tenant’s Interference with Furnace Causing Failure did not Fall Under Mechanical Breakdown Exclusion

05. September 2014 0
At appeal, the court upheld the trial judge’s decision that a tenant’s insertion of cardboard into furnace controls which caused the furnace to run continually until failure, did not fall within the mechanical breakdown or pollution exclusion under the insured landlord’s all-risk insurance policy. The court also upheld the lower court’s decision that the letter ...

Release Found Contrary to Public Policy for Contracting Out of Liability for Injuries Sustained in Motor Vehicle Accident

A release signed by a plaintiff participating in a zip line activity did not defeat the plaintiff’s claim for injuries sustained in a motor vehicle collision on the defendant zip line operator’s bus travelling from the zipline area. The release was contrary to public policy, which did not allow an owner/operator of a motor vehicle ...

Covenant to Insure Barred Insurer from Bringing a Subrogated Claim Against Covenantee

A plaintiff’s covenant to insure the defendant signifies the assumption of risk of damage for which it sues. This covenant barred the plaintiff’s insurer from bringing a subrogated claim against the covenantee defendant for the damage. Notwithstanding a lack of contractual privity, the covenant also barred the plaintiff from bringing a subrogated claim against the other ...