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LLR: Insurance & Reinsurance

MIDLAND MAINLINE LTD v EAGLE STAR INSURANCE CO LTD

[2004] Lloyd's Rep IR 739

COURT OF APPEAL

Before Lord Justice Brooke, Lord Justice Jacob and Sir Martin Nourse

Insurance (Business interruption) - Hatfield rail crash - Parts of railway network subject to gauge corner cracking subjected to emergency speed restrictions by Railtrack - Train operators suffering losses - Policy excluding coverage for wear and tear - Causation - Whether wear and tear a proximate cause of the loss - Whether wear and tear exclusion applied to business interruption extension under policy.

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