The concept of insurable interest[1] provides an answer to the two (2) essential questions that an insurer must answer before settling a claim: 1) determining the object of the insurance coverage and 2) identifying the insured. The answers to these two (2) questions do not always automatically come to light but are intimately linked together to the point of being …
Case law Summary – The case La Capitale assurances générales inc. v. Construction Mckinley inc., Société d’assurance générale Northbridge, Céramique Décor M.S.F. inc., Lisa Duval et Reckitt Benckiser (Canada) inc., 200-17-030650-204 On February 14, 2023, the Superior Court, written by the Honorable Alain Michaud, J.C.S., ruled on the issue and determined the responsibility arising from the breakage of a flexible …
March 2022 – Sécurité Nationale compagnie d’assurance c. Bel Bro inc., 2022 QCCS 723 (Granosik, j.) The Superior Court of Québec was asked to rule upon the validity of the subrogatory proceedings an insurer filed against a third party following the payment of insurance proceeds to insured parties (in the context of an out-of-court settlement involving the latter and the insurer), whereas …
Fall 2021 – All contracts are governed by a requirement of good faith. An insurance policy is particular as its content and implementation must be based on increased mutual confidence between an insurer and the insured. Because of its particular nature, case law has imposed an additional rule on the parties, that is, the requirement of performing their obligations with …
Spring 2021 – A construction contract usually contains a clause by which the owner and the general contractor both take out insurance covering their insurable interest in a construction project. Accordingly, several types of insurance policies are issued, all providing for varying scopes and coverages. This situation gives rise to the following question: “may the terms of a construction contract …
Mai 2016 — “An insured’s omission to cooperate, which is specified in article 2471 C.C.Q. is rarely penalized. A recent judgment of the Court of Appeal in Intact Insurance Inc. v. 9221-2133 Quebec Inc. (Centre Mécatech) confirmed an insurer’s latitude in its power of investigation and called insured parties to order when dealing with their duty to cooperate.” An insured’s …
Juillet 2015 — «“In the current context in which insurers are increasingly requested to assume the defence of their insured, in comparison with past practice, it is essential that their position be rapidly disclosed to their insured and be clearly stated…”» In the current context in which insurers are increasingly requested to assume the defence of their insured, in comparison …
Octobre 2014 — “…an insurer and its insured may be held separately liable for the total amount of the obligation. This entails enormous consequences, especially regarding the limitation period (prescription) for such a recourse.” In 2005, the Court of Appeal surprised everyone in the case of CGU v. Wawanesa1, by ruling that there is solidary liability between an insurer and its insured, in …
Février 2013 — “…we have been witness to an emerging contradictory tendency in case law, as several trial level judges granted an indemnity on the basis of net earnings, after deducting income tax.” The Supreme Court has been clear since 1966. Income replacement indemnities granted to compensate the loss of earning capacity are calculated on the basis of a victim’s …
Mai 2012 — “Last March 6, in a unanimous decision, the Court of Appeal reaffirmed the fact that an insurer could not be obliged to disclose to the opposing party the investigation report of the investigators and claims adjusters whose services it had retained.” Last March 6, in a unanimous decision, the Court of Appeal reaffirmed the fact that an …