Aggregation of client account thefts—a challenging first instance decision for primary layer insurers (Baines v Dixon Coles and Gill)

Table of contents

• What is the background?
• The aggregation clause
• One act or omission
• One series of related acts or omissions
• What are the practical implications?

Article summary

Insurance & Reinsurance analysis: On 28 October 2020, the High Court handed down summary judgment in the related proceedings of Right Reverend, Nicholas Baines, Lord Bishop of Leeds v Dixon Coles and Gill and Guide Dogs for the Blind Association v Box. The judgment is important for professional indemnity insurers as to aggregation in cases involving the theft of client monies. Paul Castellani, partner and Nick Read, litigation executive at Kennedys considers this decision and its implications on insurers.