A Lloyd’s corporate member that participates on one or more syndicates managed by a single managing agent (or managing agent group). It enables the corporate member to back the skills of a particular underwriter or managing agent and to participate in a class or classes of business.
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A corporate member that only participates on one or more syndicates that are managed by the same managing agent or group of managing agents. The term is often used interchangeably with the expression aligned member.

an amount which the insured is prepared to, or has to, bear on any one claim

When a partially damaged vessel needs repair, the insurer is entitled to make deductions ‘new for old’ (Marine Insurance Act 1906, s.69). When new material replaces old material, which has depreciated by wear and tear, the shipowner must bear part of the cost of the new material. A deduction of one-third or one-sixth is made from the amount otherwise payable. In practice all Institute Hull clauses provide that an average, whether particular or general, shall be paid without deductions ‘new for old. For non-marine applications see NEW FOR OLD.

A part of the notification clause of a claims-made policy. It provides that when a circumstance is notified in one year but the claim not made until a subsequent year, it will be deemed to be made in the year of notification. See LAUNDRY LIST.

Where the claimant can seek damages from more than one defendant, the claimant chooses the defendant with the greatest ability to pay, i.e. the one with ‘deepest pocket’ The choice of defendant is often influenced by the insurance position.

Potentially fatal formation of blood clot within a deep vein, usually in the lower limbs. Limited movement in cramped conditions, e.g. long haul flight conditions, appear to be the main cause. Air passengers making personal injury claims have to overcome the Warsaw Convention that limits compensation to ‘accidents. There is no definitive answer in English law as to whether DVT is caused by an ‘accident’. Adopting the approach in Air France v. Saks (1985), a US case, a High Court decision (2002) held DVT not to be an accident for the purpose of the Convention.

Publication of untrue statements that tend to lower a person in the estimation of right thinkin people. Defamation may be (a) libel, i.e. publication in a permanent form such as writing, or (b) slander, meaning a transitory publication such as the spoken word. Defamation is a tort and the aggrieved party can sue for damages if suffering special damage or for an injunction. See LIBEL INSURANCE.
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Any derogatory statement which is designed to injure a person’s business or reputation. Defamation can be accomplished as libel or slander.

A cargo insurable interest that ceases during the transit for reasons other than maritime perils. A merchant, who is entitled to reject goods because of default by the seller, has defeasible interest which is insurable.

Inadequate or insufficient design in premises or products. Risk management focuses upon designing out risks at the inception. In buildings, the Construction and Design Management Regulations 1994 applies, inter alia, to the design stage. HSWA 1974, s.6, places safety responsibility on designers of products (machines, etc.) for use at work. The defective design risk may be excluded from product liability insurance on the grounds that it is a professional negligence risk. The design risk is not excluded for retailers; they may be strictly liable for defective products under the sale of Goods Act 1979.

Section 1 places an obligation on builders and developers to build dwellings ‘fit for human habitation. The duty is owed to all persons who acquire an interest in the dwelling for six years from when the work is completed or remedied. Section 3 removes ‘caveat emptor’ in selling property (this requirement is not restricted to dwellings) and makes vendors and lessors liable for negligent work on the property carried out before the sale. Section 4 makes ‘repairing’ landlords liable for defects of which they know or ought to have known. All public liability and household policies carry a Defective Premises Act 1972 liability extension.