Law firm claims Privy Council can work for insurers

Insurers are being urged to consider the Privy Council as a final court of appeal after a favourable outcome in a recent Jersey case.

In Channel Islands Knitware Company v Iona Nichola Mackay Hotchkiss, the Privy Council reduced a damages award from £184,136 to just £10,000 after rejecting the claimant's medical evidence.

Chris Phillips, a Privy Council agent and head of insurance litigation at law firm Halliwell Landau said: "The outcome in this case is proof that insurers with clients in relevant jurisdictions shouldn't be afraid of taking their case all the way to the Privy Council.

"In this case, the claimant, a knitware designer, claimed that her medical condition had been caused by her workplace conditions, when in reality the condition already existed," said Chris.

"The courts in Jersey totally misinterpreted the medical evidence. Initially, an award of £538,577 was made, which was reduced to £184,136 at the Court of Appeal in Jersey. The Privy Council has now reduced the damages to a realistic level of £10,000."