Fedgen Insurance Ltd. v Leyds (475/93)
Fedgen Insurance Ltd. v Leyds (475/93) [1995] ZASCA 20; 1995 (3) SA 33 (AD); [1995] 2 All SA 357 (A) (27 March 1995)
The Supreme Court of Appeal held that the insurance policy provided comprehensive cover for loss or damage, including theft, without limitation as to the use of the vehicle at the time of theft. The exclusionary clause in the policy applied only to 'accidents', which, in its ordinary meaning and context, did not include theft, as theft is an intentional act. Any ambiguity in the policy wording was resolved against Fedgen as the drafter. Therefore, Fedgen was liable to indemnify Leyds for the theft of the Mercedes. However, the policy's Table of Deductibles entitled Fedgen to deduct 10% of the…
Source excerpt
- Insurance Policy Interpretation
- Exclusion Clauses
- Contra Proferentem
- Deductibles
- Theft Claims