New Zealand Case Law: Decisions & Judgments

Topic

Reinstatement clause

Legal area

Court

11 Apr 2017

ANNEX DEVELOPMENTS LTD v IAG NEW ZEALAND LTD and ANOR [2017] NZHC 706

Citation

[2017] NZHC 706
Court

High Court

Clause E/F's plain and contextual meaning requires actual payment to trigger reinstatement of the sum insured; payments that 'ought to have been made' do not reinstate cover; the settlement expressly preserved progress payments in addition to the settlement sum so no substantially unequal exchange arose; summary judgment entered for first defendant dismissing plaintiff's first and second causes of action.
8 May 2015

DOMENICO TRUSTEE LIMITED v TOWER INSURANCE LIMITED [2015] NZHC 981

Citation

[2015] NZHC 981
Court

High Court

Tower had the contractual right to reinstate; Tower did not make an unequivocal election to pay replacement-value cash by words or conduct, but by a narrow margin the court found that after prolonged delay the law effectively treated Tower as having elected to settle by cash at indemnity/present day value; quantum of indemnity value was not proven and must be agreed or determined.
26 Nov 2013

MARRIOTT v VERO INSURANCE NEW ZEALAND LIMITED [2013] NZHC 3120

Citation

[2013] NZHC 3120
Court

High Court

The court held that (1) 'destroyed' means physically impracticable to repair to the pre-loss condition; (2) the sum insured reinstates after each earthquake event from the date of occurrence and any notice refusing reinstatement must be given prospectively; (3) the insured cannot recover repair costs up to the sum insured for damage that were not actually incurred (primary indemnity paid as assessed, reinstatement top-up only for actual reinstatement costs subject to special provisions); and (4) the excess/deductible is deducted from the payment otherwise due under the policy.

New Zealand Case Law

ANNEX DEVELOPMENTS LTD v IAG NEW ZEALAND LTD and ANOR [2017] NZHC 706

DOMENICO TRUSTEE LIMITED v TOWER INSURANCE LIMITED [2015] NZHC 981

MARRIOTT v VERO INSURANCE NEW ZEALAND LIMITED [2013] NZHC 3120