Never was the Law Commission and insurance law nearly so topical.
Just a couple of days before a significant Royal Birthday, the Law Commission has released a draft bill and Consultation on the issue of “insurable interest” – the final part of the jigsaw of Insurance Law Reform that has involved CIDRA, Third Party Rights and the Insurance Act. A very “technical” consultation but the origins of legislative change date back to our 18th century ancestors taking out insurance policies on the lives of the then rich and famous – for instance George III and the PM at the time Sir Robert Walpole.
It all got a bit distasteful when the newspapers at the time started printing the odds of survival or those “celebrities” and legislation ensued.
It is technical but important because the law needs revision and the draft Act covers both life and non-life policies. BLM will of course respond (the short deadline is 20 May) and the fast-track non-controversial Parliamentary process anticipated. The link – should you be interested is here – http://www.lawcom.gov.uk/project/insurance-contract-law-insurable-interest/
Written by Terry Renouf, partner, BLM