The court was asked: ‘whether a contract of insurance between Glaxo Smith Kline (‘GSK’) as insured and Equity Red Star (‘Equity’, also known as Syndicate 318 at Lloyd’s) as insurer should be rectified. Unusually, however, both parties to the contract agree that it should be rectified because the cover which it provided was wider than was intended. They agree that the contract was never intended to insure the liability of a GSK employee, Ms Janet Ball, who was involved in an accident on 5 October 2006. The claim for rectification is resisted by another insurance company, Axa, which undoubtedly insured Ms Ball. Axa contends that the wording of the Equity cover extends to Ms Ball; that as a result there was double insurance in place; and that it is therefore entitled to a 50% contribution from Equity towards what it has paid to the victim of the accident in which Ms Ball was involved. ‘
Males J
[2015] EWHC 2163 (Comm)
Bailii
England and Wales
Insurance
Updated: 02 January 2022; Ref: scu.550501
