Legal Affairs / General

Recent reminder by Courts: Respect restraints – or pay the price…

The South African courts have by and large, consistently upheld an employer’s right to restrain an employee form unfairly competing with a former employer where certain conditions have been met.

Policy interpretation: flood endorsement (Botswana)

Accumulation concerns for cyber business

A Munich Re management board member has stated that the insurer is prepared to divest cyber business over accumulation concerns. The board member said that there is a need to recognise and understand accumulation potential in order to develop a sustainable cyber insurance market. Overexposure could lead to failures.

Other insurance clauses lead to pro rata sharing no matter how elaborate (US)

It is a universal principle of insurance that where two policies covering the same loss purport to cancel each other out and only cover losses in excess of what other insurers cover, liability will be shared on a pro rata basis, usually equally. In a Georgia US decision regarding coverage for the same losses under insurance for public school employees, the losses were shared equally even though the one insurer had a far more elaborate ‘other insurance’ clause.