New Zealand Case Law: Decisions & Judgments | LexChat

Topic

Limits of liability

Legal area

Court

31 Jul 2020

MOORE v IAG NEW ZEALAND LIMITED [2020] NZCA 319

Citation

[2020] NZCA 319
Court

Court of Appeal

An aggregation clause groups losses only where there is a linked sequence of sudden accidental losses occurring in temporal proximity and caused by a series of events sharing the same proximate cause; a broad 'but for' causal link is insufficient. Two earthquakes four months apart causing separate sudden losses were not a "series of losses" caused by a series of events with the same proximate cause, so each loss is subject to its own sum insured limit.
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.