AUTOMOBILE INSURANCE - Accident benefits

Law360 Canada (August 23, 2022, 6:00 AM EDT) -- Appeal by Chubb Insurance from a decision of a Superior Court Appeal judge (“SCAJ”) that set aside an arbitrator’s decision regarding a priority dispute between insurers. Ekstein suffered catastrophic injuries when he was hit by a truck while jogging. Ekstein had basic mandatory statutory accident benefits (“SABS”) coverage under his personal automobile insurance policy issued by Chubb Insurance. In addition, his company, for which he was president and CEO, had purchased enhanced SABS coverage under a fleet policy issued by Continental Casualty for his company’s vehicles. Ekstein had never used any of the company vehicles. After Continental denied coverage, Ekstein claimed basic SABS from Chubb. Chubb subsequently initiated a priority dispute with Continental. An arbitrator held that Continental was the priority insurer and obliged to pay Ekstein both basic mandatory and optional enhanced SABS. The SCAJ concluded Ekstein was not a deemed named insured under the Continental policy and Chubb was the priority insurer. The SCAJ found Continental was obliged to pay both basic mandatory and optional enhanced SABS under the terms of Ontario Policy Change Form 47 endorsement (“OPCF 47”) but was entitled to reimbursement from Chubb for the costs of basic mandatory SABS....
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