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Home/Law/You are a claims handler for an insurance company and are dealing with two insurance claims as follows: Claim One A claim by the next of kin following the death of an employee who was killed by a forklift truck during the course of their employment. The forklift truck was being operated in a non-designated area by a temporary member of staff, provided by an employment agency. A settlement payment for the death of the employee of £750,000 has been made under the Employers’ Liability policy and a payment of £400,000 under a life policy. Claim Two A claim under a travel policy for bodily injury and damage to personal possessions. The claim occurred when the policyholder was on holiday abroad and went on a trip organised by a local travel provider. The insurer agreed the bodily injury claim but did not pay for the personal possessions, as they fell within the policy excess of £100. The policyholder’s claim was settled for £15,000. The insurer pursued the local travel provider and due to fluctuations in exchange rates received £18,000. The local travel provider was concerned about reputational damage and provided the policyholder with a free holiday worth £2,000. Explain, with justification, the rights of recovery that are available for the payments made in Claim One above. Refer to one relevent case in support of your explanation.

You are a claims handler for an insurance company and are dealing with two insurance claims as follows: Claim One A claim by the next of kin following the death of an employee who was killed by a forklift truck during the course of their employment. The forklift truck was being operated in a non-designated area by a temporary member of staff, provided by an employment agency. A settlement payment for the death of the employee of £750,000 has been made under the Employers’ Liability policy and a payment of £400,000 under a life policy. Claim Two A claim under a travel policy for bodily injury and damage to personal possessions. The claim occurred when the policyholder was on holiday abroad and went on a trip organised by a local travel provider. The insurer agreed the bodily injury claim but did not pay for the personal possessions, as they fell within the policy excess of £100. The policyholder’s claim was settled for £15,000. The insurer pursued the local travel provider and due to fluctuations in exchange rates received £18,000. The local travel provider was concerned about reputational damage and provided the policyholder with a free holiday worth £2,000. Explain, with justification, the rights of recovery that are available for the payments made in Claim One above. Refer to one relevent case in support of your explanation.

Under the operation of subrogation, an insured party can recover the same loss twice by receiving compensation from two sources. We have seen that the next of kin for the deceased employee received two forms of compensation, the first one was under the Employer’s Liability policy, which was valued at £750,000, and the other one was £400,000 under the life policy. In this instance, the next of kin has recovered from the same loss twice. It is possible to receive double payment in life insurance policies because they are categorized as a benefit and not indemnity policies. This description suffices because the principle of subrogation is a corollary concept that does not apply to non-indemnity forms of insurance, such as the life policy described above.

In Castellain v. Preston (1883), the potential for insured parties to enrich themselves from insurance policies is highlighted. The case involved a vendor who was contracted to sell a house and received double payment for claims made because of the loss of the house from a fire. The fire happened during the time the vendor was negotiating for the sale of the house. Therefore, when it occurred, he received compensation for the house due to the loss of the fire and eventually for the sale of the house. It was held that the insurer had a right to recover the compensation paid.

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Academic.Tips. (2022) 'You are a claims handler for an insurance company and are dealing with two insurance claims as follows: Claim One A claim by the next of kin following the death of an employee who was killed by a forklift truck during the course of their employment. The forklift truck was being operated in a non-designated area by a temporary member of staff, provided by an employment agency. A settlement payment for the death of the employee of £750,000 has been made under the Employers' Liability policy and a payment of £400,000 under a life policy. Claim Two A claim under a travel policy for bodily injury and damage to personal possessions. The claim occurred when the policyholder was on holiday abroad and went on a trip organised by a local travel provider. The insurer agreed the bodily injury claim but did not pay for the personal possessions, as they fell within the policy excess of £100. The policyholder's claim was settled for £15,000. The insurer pursued the local travel provider and due to fluctuations in exchange rates received £18,000. The local travel provider was concerned about reputational damage and provided the policyholder with a free holiday worth £2,000. Explain, with justification, the rights of recovery that are available for the payments made in Claim One above. Refer to one relevent case in support of your explanation'. 9 October.

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Academic.Tips. (2022, October 9). You are a claims handler for an insurance company and are dealing with two insurance claims as follows: Claim One A claim by the next of kin following the death of an employee who was killed by a forklift truck during the course of their employment. The forklift truck was being operated in a non-designated area by a temporary member of staff, provided by an employment agency. A settlement payment for the death of the employee of £750,000 has been made under the Employers' Liability policy and a payment of £400,000 under a life policy. Claim Two A claim under a travel policy for bodily injury and damage to personal possessions. The claim occurred when the policyholder was on holiday abroad and went on a trip organised by a local travel provider. The insurer agreed the bodily injury claim but did not pay for the personal possessions, as they fell within the policy excess of £100. The policyholder's claim was settled for £15,000. The insurer pursued the local travel provider and due to fluctuations in exchange rates received £18,000. The local travel provider was concerned about reputational damage and provided the policyholder with a free holiday worth £2,000. Explain, with justification, the rights of recovery that are available for the payments made in Claim One above. Refer to one relevent case in support of your explanation. https://academic.tips/question/you-are-a-claims-handler-for-an-insurance-company-and-are-dealing-with-two-insurance-claims-as-follows-claim-one-a-claim-by-the-next-of-kin-following-the-death-of-an-employee-who-was-killed-by-a-for-2/

References

Academic.Tips. 2022. "You are a claims handler for an insurance company and are dealing with two insurance claims as follows: Claim One A claim by the next of kin following the death of an employee who was killed by a forklift truck during the course of their employment. The forklift truck was being operated in a non-designated area by a temporary member of staff, provided by an employment agency. A settlement payment for the death of the employee of £750,000 has been made under the Employers' Liability policy and a payment of £400,000 under a life policy. Claim Two A claim under a travel policy for bodily injury and damage to personal possessions. The claim occurred when the policyholder was on holiday abroad and went on a trip organised by a local travel provider. The insurer agreed the bodily injury claim but did not pay for the personal possessions, as they fell within the policy excess of £100. The policyholder's claim was settled for £15,000. The insurer pursued the local travel provider and due to fluctuations in exchange rates received £18,000. The local travel provider was concerned about reputational damage and provided the policyholder with a free holiday worth £2,000. Explain, with justification, the rights of recovery that are available for the payments made in Claim One above. Refer to one relevent case in support of your explanation." October 9, 2022. https://academic.tips/question/you-are-a-claims-handler-for-an-insurance-company-and-are-dealing-with-two-insurance-claims-as-follows-claim-one-a-claim-by-the-next-of-kin-following-the-death-of-an-employee-who-was-killed-by-a-for-2/.

1. Academic.Tips. "You are a claims handler for an insurance company and are dealing with two insurance claims as follows: Claim One A claim by the next of kin following the death of an employee who was killed by a forklift truck during the course of their employment. The forklift truck was being operated in a non-designated area by a temporary member of staff, provided by an employment agency. A settlement payment for the death of the employee of £750,000 has been made under the Employers' Liability policy and a payment of £400,000 under a life policy. Claim Two A claim under a travel policy for bodily injury and damage to personal possessions. The claim occurred when the policyholder was on holiday abroad and went on a trip organised by a local travel provider. The insurer agreed the bodily injury claim but did not pay for the personal possessions, as they fell within the policy excess of £100. The policyholder's claim was settled for £15,000. The insurer pursued the local travel provider and due to fluctuations in exchange rates received £18,000. The local travel provider was concerned about reputational damage and provided the policyholder with a free holiday worth £2,000. Explain, with justification, the rights of recovery that are available for the payments made in Claim One above. Refer to one relevent case in support of your explanation." October 9, 2022. https://academic.tips/question/you-are-a-claims-handler-for-an-insurance-company-and-are-dealing-with-two-insurance-claims-as-follows-claim-one-a-claim-by-the-next-of-kin-following-the-death-of-an-employee-who-was-killed-by-a-for-2/.


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Academic.Tips. "You are a claims handler for an insurance company and are dealing with two insurance claims as follows: Claim One A claim by the next of kin following the death of an employee who was killed by a forklift truck during the course of their employment. The forklift truck was being operated in a non-designated area by a temporary member of staff, provided by an employment agency. A settlement payment for the death of the employee of £750,000 has been made under the Employers' Liability policy and a payment of £400,000 under a life policy. Claim Two A claim under a travel policy for bodily injury and damage to personal possessions. The claim occurred when the policyholder was on holiday abroad and went on a trip organised by a local travel provider. The insurer agreed the bodily injury claim but did not pay for the personal possessions, as they fell within the policy excess of £100. The policyholder's claim was settled for £15,000. The insurer pursued the local travel provider and due to fluctuations in exchange rates received £18,000. The local travel provider was concerned about reputational damage and provided the policyholder with a free holiday worth £2,000. Explain, with justification, the rights of recovery that are available for the payments made in Claim One above. Refer to one relevent case in support of your explanation." October 9, 2022. https://academic.tips/question/you-are-a-claims-handler-for-an-insurance-company-and-are-dealing-with-two-insurance-claims-as-follows-claim-one-a-claim-by-the-next-of-kin-following-the-death-of-an-employee-who-was-killed-by-a-for-2/.

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"You are a claims handler for an insurance company and are dealing with two insurance claims as follows: Claim One A claim by the next of kin following the death of an employee who was killed by a forklift truck during the course of their employment. The forklift truck was being operated in a non-designated area by a temporary member of staff, provided by an employment agency. A settlement payment for the death of the employee of £750,000 has been made under the Employers' Liability policy and a payment of £400,000 under a life policy. Claim Two A claim under a travel policy for bodily injury and damage to personal possessions. The claim occurred when the policyholder was on holiday abroad and went on a trip organised by a local travel provider. The insurer agreed the bodily injury claim but did not pay for the personal possessions, as they fell within the policy excess of £100. The policyholder's claim was settled for £15,000. The insurer pursued the local travel provider and due to fluctuations in exchange rates received £18,000. The local travel provider was concerned about reputational damage and provided the policyholder with a free holiday worth £2,000. Explain, with justification, the rights of recovery that are available for the payments made in Claim One above. Refer to one relevent case in support of your explanation." Academic.Tips, 9 Oct. 2022, academic.tips/question/you-are-a-claims-handler-for-an-insurance-company-and-are-dealing-with-two-insurance-claims-as-follows-claim-one-a-claim-by-the-next-of-kin-following-the-death-of-an-employee-who-was-killed-by-a-for-2/.

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You are a claims handler for an insurance company and are dealing with two insurance claims as follows: Claim One A claim by the next of kin following the death of an employee who was killed by a forklift truck during the course of their employment. The forklift truck was being operated in a non-designated area by a temporary member of staff, provided by an employment agency. A settlement payment for the death of the employee of £750,000 has been made under the Employers' Liability policy and a payment of £400,000 under a life policy. Claim Two A claim under a travel policy for bodily injury and damage to personal possessions. The claim occurred when the policyholder was on holiday abroad and went on a trip organised by a local travel provider. The insurer agreed the bodily injury claim but did not pay for the personal possessions, as they fell within the policy excess of £100. The policyholder's claim was settled for £15,000. The insurer pursued the local travel provider and due to fluctuations in exchange rates received £18,000. The local travel provider was concerned about reputational damage and provided the policyholder with a free holiday worth £2,000. Discuss the implications of the various types of payments made in Claim Two above. Refer to one case in support of your discussion.
You are a claims handler for an insurer. One of your insurer's policyholders, Paul, owns a rare vintage motor car. The vintage car is insured under an agreed value insurance policy for the sum of £120,000. This agreed value is based on an expert valuation carried out in 2015. The policy has been renewed annually, with no subsequent change to the agreed value being advised to the insurer. The vintage car was involved in a serious accident. Paul did not think the car could be properly repaired due to its extensive damage and wanted the claim settled for the full £120,000. The insurer insisted that the car was repaired. Replacement parts were hard to source and as a result the replacement parts, which were deemed suitable by the insurer, were not all vintage. An expert in valuing vintage cars, stated that in its repaired state the car is now only worth £100,000. However, if the car had not been damaged its value would now be £150,000. Paul wants to keep the car but argues that he should be given a cash payment of £20,000 to allow for the loss of value. Refer to one relevant case in support of your discussion.
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