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United Kingdom Leading Case marine insurance

The Star Sea (Manifest Shipping Co Ltd v Uni-Polaris Insurance Co Ltd)

[2001] UKHL 1
JurisdictionUnited Kingdom
CourtUK House of Lords
Year2001
StatusBinding authority

Summary

Post-placement duty of utmost good faith in marine insurance is modified; a fraudulent claim avoids liability for that claim only, not the entire policy.

Key Principle

The duty of utmost good faith (uberrima fides) in marine insurance continues post-placement but in a modified form; a fraudulent claim entitles the insurer to avoid liability for the claim but not the entire policy.

Area of Law

insurance

Related Cases

Allianz Australia Insurance Ltd v Sim [2012] HCA 39
Certain Lloyd's Underwriters v Cross (2012) 248 CLR 378

Under Insurance Contracts Act s.54, an insurer cannot refuse a claim on the basis of the insured's breach of duty of disclosure where that breach did not cause or contribute to the loss.

Westport Insurance Corporation v Gordian Runoff Ltd (2011) 244 CLR 239

Insurance contract construction follows general commercial contract principles, requiring consideration of text in context and giving effect to the commercial purpose.

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