Introduction
We are delighted to present you with this booklet on Construction Insurance topics with reference to judicial decisions made in 2019 and 2020. Although many of these decisions originate in the United Kingdom, Australia and Canada these are worth paying attention to as they may prove to be influential on future decisions made by South African courts.
We have selected five topics and we provide our expert analysis and commentary in respect of each one. The five topics and the judicial decisions to which they relate, serve to demonstrate the significant interconnectedness between the fields of construction and insurance law. The selected topics are:
- The status of interim payment certificates on cancellation of a construction contract and implications for construction guarantees and guarantee insurers.
- Coverage implications for insurers in a construction contract in circumstances where the construction all risks insurance policy and the reinsurance policy are not back-to-back.
- Contractual liability exclusion clauses in liability insurance cover, including construction all risks covers.
- The rectification of an on-demand construction performance guarantee issued by an insurer and the doctrine of strict compliance.
- The controversial defective workmanship exclusion in construction all risks insurance policies.
While this is not intended to be a reference work, we do hope that it will be useful to those in the construction and insurance industries.
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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
