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Judgement reserved in Setanta Insurance liability appeal

Summary

Judgement has been reserved in an appeal brought by the Motor Insurers Bureau of Ireland (MIBI) against a High Court finding that it is liable for outstanding claims following the 2014 collapse of Setanta Insurance. The MIBI, acting as appellant, argues it should not be required to pay out claims against persons insured with Setanta at the time of its liquidation and seeks to have Mr Justice John Hedigan's decision set aside. The Insurance Compensation Fund, represented by the Law Society as applicant, opposed the appeal, contending that MIBI agreements since the 1950s envisaged liability for member insolvency. The case, heard by Mr Justice Sean Ryan, Ms Justice Mary Finlay Geoghegan, and Mr Justice Gerard Hogan, concluded on Thursday after submissions. Mr Justice Ryan noted the court appreciated the urgency and would deliver its decision as soon as possible. The High Court had previously determined that the MIBI, rather than the Insurance Compensation Fund, was liable for approximately 1,750 remaining claims. The MIBI alleges the High Court decision creates significant difficulties, effectively making it a co-guarantor for rival firms without access to pre-insolvency information. The matter was initially brought by the Accountant of the Courts of Justice, who remains neutral, with the Law Society directed to act as claimant. The appeal concerns the allocation of liability for uninsured driver claims and has implications for motor insurance premiums.

Who, what, where, when and why

What: Report matter: Judgement reserved in Setanta Insurance liability appeal. Procedural stage: appeal

When:

• 2016-01-14 Publication

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Stage Appeal

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