The interpretation of insurance policies is one of the most often litigated aspects of insurance law.
In these articles we analyse two recent decisions on insurance-related matters, one from our High Court and one from our Supreme Court of Appeal, in which the respective courts, in finding against the respective insurers, warned against the adoption of a purely literal approach to the interpretation of an insurance policy. The process is an integrated one that takes into account not only the wording of the policy, but also the context and the need to consider a business-like construction.
The decision of the Supreme Court of Appeal revisits the interpretative process and serves as a useful guide; we summarise the process in our analysis of the case.
These articles will be of interest to all players in the insurance market.