ARTICLE · 10 JULY 2017

Total and Permanent Disability (TPD) insurance policy given businesslike interpretation

Colin Biggers & Paisley

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This case is also a reminder that insurers should ensure that their policies, with defined terms, are clearly drafted.

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IN BRIEF - INSURER SUCCESSFULLY APPEALS TPD BENEFIT JUDGEMENT

In MLC Nominees Pty Ltd v Daffy [2017] VSCA 110, the Victorian Court of Appeal has confirmed that courts will apply a "businesslike" interpretation to policies of insurance. The decision is significant because it illustrates some of the complex issues which may arise where a person's employment has been terminated. It is also a reminder that insurance policies, including their defined terms, should be clearly drafted.

CESSATION OF LIABILITY CLAUSE AND "ACCRUED" POLICY WORDING SCRUTINISED BY COURT OF APPEAL

The Court of Appeal undertook a detailed analysis of the policy wording in question. Ultimately, the key issues for determination were:

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