Cameron v Liverpool Victoria Insurance  UKSC 6
Wrong in law
- At para 5 of the judgment it states in robust terms that there is no direct right of action against insurers for the underlying liability of its assured under the UK compulsory insurance regime, when setting the scene for the exercise of its discretion (on whether, in a civil action, a court should order alternative service or to dispense with service entirely against an unidentified driver). The Supreme Court overlooks the fact that EC Rights Against Insurers Regs 2002 provides just such a remedy.
- At paras 4, 5 and 27, the court effectively asserts that the allocation of claims to the MIB against unidentified drivers of identified and insured vehicles is consistent with the Motor Insurance Directive 2009/103/EC. This is wrong. It ignores no less than three CJEU rulings (Churchill, Csonka and Fidelidade) (see my earlier posts) that explicitly prohibit such claims from being allocated to the compensating body (which in the UK this is the Motor Insurance Bureau) – where a policy of insurance is in place for an identified vehicle. This is because the protective purpose of the Directive requires the compensatory provision to be made by the insurer direct.