Introduction
Some policyholders purchase professional fees coverage as an
extension to their insurance policy's general coverage
grant. Professional fees coverage is meant to reimburse an
insured for the expense of hiring professionals to assist in
quantifying a loss and putting a claim together to satisfy an
insurer's requirements. Ontario's Superior Court of
Justice recently released a decision addressing who controls the
decision of whether such professionals will be retained and have
their fees covered by the insurance policy.
Facts
In Be In Christ Church of Canada O/A Welland Brethren in
Christ Church v. Intact Insurance Company,1 a fire
occurred at the premises of a Church. The Church held a valid
insurance policy with Intact Insurance company of Canada
("Intact") that also provided coverage for professional
fees (the "Policy"). The Church reported the fire
loss to Intact, who then retained a construction company to prepare
a "scope" document which
