Reform of Insurance Contract Law: postscript
We mentioned in our latest update on the final draft of the Insurance Contracts Bill that it was envisaged by the Law Commissions that if there was broad consensus of support for the draft, the Bill might become law via the special procedure for uncontroversial Law Commission Bills. However, Clauses 11 and 14 of the draft Bill (warranties and late payment by insurers) have not been included in the version of the Bill that was recently introduced into Parliament. This is apparently because HM Treasury did not consider them suitable for the special procedure. The Law Commissions have said that they intend to continue to work with stakeholders to find a workable solution on these two points, to be introduced at the next legislative opportunity.
The Bill that has been introduced into Parliament also seeks to correct a defect in the Third Parties (Rights against Insurers) Act 2010, so that that Act can be brought into force.
This information is intended as a general discussion surrounding the topics covered and is for guidance purposes only. It does not constitute legal advice and should not be regarded as a substitute for taking legal advice. DWF is not responsible for any activity undertaken based on this information.