THORNTON SPRINGER v NEM INSURANCE CO LTD AND ORS

[2000] Lloyd's Rep IR 590

QUEEN’S BENCH DIVISION (COMMERCIAL COURT)

Before Mr Justice Colman

Insurance (professional indemnity) - Unsuccessful claim against assured - Liability of insurers for costs incurred by assured in defending unsuccessful claim - Whether defence costs within insuring clause - Whether defence costs covered by special condition or legal defence clause - Whether insurers consented to incurring of defence costs by assured - Whether insurers under implied duty not to withhold consent for defence costs to be incurred - Whether insurers bound by agreement, waiver or estoppel to fund defence costs - Apportionment of defence costs where claim in part covered losses outside policy.