28 September 2018
Toby v Allianz Global Risks US Insurance Company – FSD 152 of 2013 (IMJ): illegality in insurance contracts and the operation of the loss payee clause and financial loss exclusion
The Grand Court of the Cayman Islands has recently handed down its decision in Toby v Allianz Global Risks US Insurance Company – FSD 152 of 2013 (IMJ) a claim concerning aviation hull insurance in which Ben Elkington QC acted for the successful defendant insurer.
In reaching her 210-page decision in this factually and legally complex matter, the Honorable Justice Ingrid Mangatal, described the task as “not … too dissimilar from a pilot trying to safely land an aircraft where there is no existing territory.” Pippa Manby summarises the landing path taken before considering the court’s approach to three specific matters: (a) the operation of the loss payee clause; (b) the illegality issue in the context of insurance claims in light of the Supreme Court’s decision in Patel v Mirza; and (c) the financial loss exclusion.
