10 Jul 2013
RIDGECREST NEW ZEALAND LTD V IAG NEW ZEALAND CA811/2012 [2013] NZCA 291
- Citation
- [2013] 3 NZLR 618
- Court
- Court of Appeal
The Court held the insured's claims were made under the policy's replacement cover (clause C2); insurer's liability for repairable damage is the actual cost of repairs undertaken after each happening and, if the building became irreparable, liability is the replacement cost up to the policy limit for that happening; therefore the insured was not entitled to be paid estimated restoration costs for each happening irrespective of whether repairs were completed, and the High Court's negative answer to the preliminary question was confirmed.