What is the exclusion clause in a personal injury claim?

Ontario, Canada


The following excerpt is from Deloitte & Touche Inc. v. Bennett, 2006 CanLII 16484 (ON SC):

This type of exclusion clause is commonly referred to as an "insured v. insured" exclusion. The underlying reason for such a [page393] so-called exclusion clause is to prevent abusive actions instigated with collusion between insureds, such as, for example, where a company may have suffered a loss by virtue of a business decision due to an error in judgment of the directors who might then cause the company to sue themselves with a view to indemnity from the insurer.

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