Abstract

Liability Tree

Article

‘Liability Tree’

 

By what has come to be called the liability "tree", the insurer sitting at the top of the tree being primarily liable to provide indemnity, generally if an insurer higher up the tree falls out, then liability to indemnify or satisfy a judgment will rest with the insurer immediately below. This situation arises for example f a secondary insurer is liable undder its teerms in the absence of a primary insurer which is liable, and the primary insurer denies liability under its policy: Advantage Insurance Co Ltd v Stoodley & Anr 2018] EWHC 2135 (QB).