Contribution

Question 1

Contribution definition

Answer 1

If 2/more companies cover risk, insured would profit
Contribution limits payment to amount of loss
Loss shared proportionately between all insurers covering risk

Question 2

Common law

Answer 2

Godin v london assurance co (1758)

Cannot receive double payment for loss

Question 3

Statute

Answer 3

S80 marine insurance act 1906

Insurer that indemnified can pursue for contribution

Question 4

Conditions

Answer 4

Must have common subject matter
Cover peril
Same insured
Policy must be in force and legal encorcable at time of loss

Question 5

Common subject matter

Answer 5

Godin v London assurance co 1758
Extent of cover doesn’t need to be the same
Insurance interest must be the same

Question 6

All policies must be in force at time of loss

Answer 6

Sickness and accident t assurance V general accident insurance

Question 7

Policy conditions

Answer 7

Ratable proportion clause

Exclusion clause

Question 8

Ratable proportion clause

Answer 8

Insurer not liable for more than own share

Question 9

Exclusion clause

Answer 9

Relieves insurer of all losses when another party exists

Breach of indemnity

Question 10

Hibernian v eagle star and guardian 1987

Answer 10

Guardian-any vehicle in custody/control of dublin road motors
Eagle star-Talbot rentals car
Hibernian-car (wife policy)
Hibernian indemnified and contributed 50% off eagle star