Wed, 09 September, 2015
This reinsurance trial involved the attempted avoidance, by AXA, of two first loss energy reinsurance treaties on the grounds of material non-disclosure and misrepresentation.
Guy Blackwood Q.C. represented the reassured, Arig and was responsible for putting Arig’s case on inducement. At trial, AXA was able to establish that material non-disclosures had occurred on placement of the first loss treaties, which comprised the failure to disclose previous loss records on energy construction risks and previous loss incidents. Notwithstanding these material non-disclosures, AXA failed in its attempt to avoid the treaties. Following Guy’s cross-examination of Albingia’s underwriter, Mr Holzapfel, Males J concluded that the material non-disclosures had not induced Albingia to write the reinsurance treaties.