Motor insurance—Rights of third parties against insurers—Duty of insurers to satisfy judgments against insured persons

Queen’s Bench Division, Jay J, 3 Jun 2014

The UK has been held to be in plain breach of EU law for the claimant motor vehicle passenger’s failure to recover damages under the Uninsured Drivers' Agreement 1999

Philip Moser QC and Eric Metcalfe (instructed by Pinto Potts Solicitors) for the claimant. Brain Kennelly and Tom Cleaver (instructed by Treasury Solicitor) for the defendant.

The claimant was a front seat passenger in a car driven by SP. Owing to SP’s negligence, a serious road traffic accident took place and the claimant sustained severe personal injuries. Members of the emergency services discovered a bag containing 240 grams of cannabis under the front of the claimant’s jacket. SP’s insurers avoided the policy on various grounds and therefore the Motor Insurers’ Bureau (MIB) as insurer of last resort became liable under the Uninsured Drivers’