The Mortgage Clause: Insurers and adjusters shouldn’t overlook the role of the standard mortgage clause in the property insurance policy

A version of the Standard Mortgage Clause (SMC) is found in virtually every property insurance policy where a mortgage underlies the property ownership. The standard wording of the SMC is:

Breach of Conditions by Mortgagor, Owner or Occupant – this …

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Duty to Defend and a Consideration of “Residency”

In contemporary Canadian society, a multitude of different living arrangements exist as a result of increased divorce rates, the return of adult children to the home, extended family residing together, and the rise of maintaining residences abroad. If the fluctuating …

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Is Anybody Home? BCCA Clarifies Scope of Vacancy Exclusion in Homeowner’s Policy

The British Columbia Court of Appeal in Coburn v. Family Insurance Solutions, 2014 BCCA 73, recently clarified the scope of a vacancy exclusion in a homeowner’s policy, concluding that a house with no one living in it for more …

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No Contracting Out of Liability for Motor Vehicle Accidents

In 2012, the B.C. Court of Appeal’s decision in Loychuk v Cougar Mountain Adventures Ltd., 2012 BCCA 122, confirmed that people who knowingly and voluntarily engage in inherently risky recreational activities will be precluded from suing a commercial operator where …

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Discount Rates Changed

Effective April 30, 2014, Discount Rates have been changed pursuant to Regulation 74/2014.  The Regulation changes the rates currently found in the Law And Equity Regulation, section 1(a)  and (b) as follows:

(a) the former discount rate of 2 ½% …

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Dirty Business – Contamination Exclusion Clause Upheld

Ground contamination in residential property is not only an environmental concern, but is also an expensive issue for insurers in Canada. The contamination often results from a leak in a residential heating oil tank. When these leaks occur, home owners …

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A Recent View from the Bench on the Impact of Work History on Claims for Loss of Earning Capacity

The B.C. Supreme Court recently weighed in on the significance of a Plaintiff’s work history on claims for loss of earning capacity in Riding-Brown v. Jenkins, 2014 BCSC 382.

On June 26, 2009, the Plaintiff, Mr. Riding-Brown, was riding …

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When backseat driving goes too far: no insurance coverage when a passenger intentionally interferes with the driver

The Supreme Court of British Columbia recently considered the question of whether or not a passenger, when intentionally interfering with the driver, could be considered a user or operator of the vehicle such that their actions brought them under the …

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Interpretation of the Standard Non-Owned Automobile Policy

The Standard Non-Owned Automobile Policy is commonly found as part of many insureds’ Commercial General Liability policy (sometimes included as an Endorsement to the CGL policy); however, interpretation of the policy has received little judicial review in B.C.

The typical …

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‘Tis the Season – Alcohol-Related Liability

‘Tis the season of holiday parties with many over imbibing on egg nog and other festive cocktails.  Unfortunately, overdoing it during the holiday festivities can give rise not only to hangover-related headaches, but also to various forms of liability headaches.…

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