MOTOR COLLISION

Dominion, Volume 25, Issue 169, 13 April 1932, Page 10

MOTOR COLLISION

Question of Insurance OWNERS’ INDEMNITY The Court of Appeal yesterday reversed a decision of Mr. Justice Ostler given in December last in an action brought by Bernard John Carly on Joyes against the National Insurance Co. of New Zealand, Ltd. Their Honours held that the statutory indemnity given by the Motor Vehicles Insurance (third party) Act, 1928, did not extend to .cover a claim made against an owner of a car by the employer of a person who sustained bodily injury where such employer claimed and recovered from the owner damages for the loss of the injured person’s services. It was also held that that particular claim was not covered by the indemnity contained in the Comprehensive Insurance Policy issued by the National Insurance Company to Joyes. Dealing with the statutory indemnity the Chief Justice paid: “In my opinion the Act does no more than create an indemnity by the insurance company against tlie owner’s liability to pay damages to an injured person on account of or by reason of his bodily injury or to the persons entitled to recover where death results from the injury.”