Insurance – house contents insurance – liability
of owner builder – coverage – exclusion for liability
arising out of breach of duty as owner or occupier – court
found claim was for breach of duty arising out building the house
and that duty was independent of whether builder the owner or
occupier – insurer liable to indemnify the insured
This decision highlights the need to carefully construe
exclusion clauses and assess how they apply on the given facts.
Background:
Between 1993 and 1996, the first defendant constructed a home as
an owner builder and subcontracted the construction of the
home's balcony to a carpenter. The balcony was not constructed
in accordance with the plans approved by the local council and the
defendant did not refer the change to the designer or certifying
engineer for consideration. The first defendant transferred the
property to new owners in 1996, and the property was subsequently
transferred on two further occasions. In 2009, the
