For example, a fire may occur in a frozen food packaging plant. As a result of the fire, the packaging of the stock becomes contaminated and has to be replaced. In those circumstances, the damage would be covered by the policy even though contamination may be excluded in that it was itself caused by a non-excluded peril, namely fire and smoke pollution. An example of the second part of the proviso could perhaps be where the concrete...more
All of the goods stored in the room became unfit for human consumption as a result of contamination from the ammonia. The ARPI policy excluded contamination unless caused by or resulting from loss of or to the property covered by explosion. It was argued that the contamination was caused by an explosion and the court adopted an earlier approved definition of explosion, namely u...a sudden, accidental, violent, bursting, breaking or...more
The assured argued that "contaminate" meant introducing foreign substance thus effectively creating a different substance. It conceded, however, that a product is also referred to as contaminated when the foreign substance merely injures its usefulness without affecting the original physical characteristics. It was argued that this created an ambiguity and therefore the policy should be read in favour of the assured. However, the court decided that if contamination had two equally familiar meanings then the clause excluded loss caused by the substance being materially altered by contamination and also where the usefulness of the property has been affected by the introduction of a foreign substance, and found against the assured. It is often a fine distinction to draw between whether the proximate cause is in fact the contamination of the insured property or the introduction of the foreign substance which may be caused by some accidental event—hence, the addition of the provision to some contamination and pollution clauses as referred to above. In the the case of Raybestos—Manhattan Inc. v. Industrial Risk Insurers (1981), the assureds heptane tank was...more
Some, but by no means all, ARPI policies contain a clause excluding spontaneous combustion, namely a fire brought about by the conditions produced within the substance itself. The key element to spontaneous combustion is the creation of a fire without obvious external factors. Therefore, there have been doubts as to whether or not an...more
There is a degree of overlap again between riot, civil commotion and terrorism, but terrorism is considered separately in that, again, it has a somewhat different history of coverage under All Risk Property Insurance (ARPI) policies. Since the mid-1970s most ARPI policies have contained an exclusion for losses occurring in Northern...more
A dramatic change in the market took place following the massive explosion that had occurred in St Mary Axe in 1992 resulting in damage to the Commercial Union building and other buildings in the City. At the end of 1992 the reinsurance market withdrew cover for terrorism leaving many direct insurers exposed and being required to cancel existing cover, leaving assureds with commercial properties, particularly in the City area, exposed to a substantial risk. This led to the unusual situation of the government agreeing to act as a reinsurer of last resort. The reinsurers' main concern had been that terrorism was a political issue and, as such, a risk which would not respond to normal risk management and loss control measures. As a result of the withdrawal of reinsurers from the market, on 12 November 1992, the ABI issued a press release announcing that it had made available to its members a model terrorism exclusion for industrial and commercial risks as follows: 'The insurance does not cover damage or loss resulting from damage in Great Britain by fire or explosion occasioned by or happening through or in consequence directly or indirectly of terrorism except to the...more
The Chambers Concise Twentieth Century Dictionary defines terrorism as "an organised system of intimidation especially for political ends". Lastly, the Concise Oxford Dictionary describes a terrorist as "a person who uses or favours...more
Without such public declarations, the identity of the target may be an indication of whether the motive is specific or whether it has political motivation—is the intention to influence the individual or the government? If, for...more
When purchasing commercial vehicle insurance there are many different options to choose from, do you need breakdown insurance, towing insurance or windscreen insurance? These different commercial van insurance extras will affect how much you pay for...more
With so many insurance companies in the United States today, choosing the one that suits best your needs can be a puzzling decision to make. So once you have decided to buy an insurance policy, how do know if the insurance provider is the right one....more
So your on the market for ipod touch insurance of blackberry insurance? If so, then you will find the information presented herein to be very helpful. There are numerous attributes and qualities that you should be looking for in an...more
At the end of July 2010, it was confirmed by the Transport Secretary Philip Hammond that from January 2011 motorists will receive up to £5,000 towards the purchase of an ultra-low carbon car. The initiative is open to both fleet and private...more