We have previously reported on the Law Commission and Scottish Law Commissions’ (the Commissions) review of insurance contract law. The Commissions have recently published the latest draft of the Insurance Contracts Bill (the Bill) (see attached a copy of the Bill) which includes clauses changing the law in the following areas:
- The duty of a fair presentation of the risk;
- Warranties and other terms;
- Insurers’ remedies for fraudulent claims; and
- An insured’s remedies for late payment of a valid claim.
If the Bill is regarded as politically uncontroversial it may be able to pass through the fast track legislative process into law by March 2015.
We will report further on the Bill as it progresses.