Law Society of Ireland v Motor Insurers’ Bureau of Ireland [04.09.15]
Following the liquidation of Setanta Insurance Company in April 2014, there were approximately 1,750 claims against Setanta policyholders, estimated in the region of €93m. Setanta was registered in Malta and a member of the Motor Insurers’ Bureau of Ireland (MIBI). The Irish High Court considered the correct interpretation of the 2009 MIBI Agreement. It held that the MIBI was liable to pay for claims against Setanta policyholders at the time of its entry into liquidation. In addition, the High Court may not approve payments out of the Insurance Compensation Fund, unless it appears that the MIBI is unlikely to meet the claim. MIBI has indicated that it intends to appeal.