Enables the dependants of a person killed by the defendant’s tort to claim for their financial losses and separately for bereavement. Dependants able to show a financial dependency will be able to claim provided that the deceased would have had a claim had he survived. The damages take account of earnings spent on the dependants, savings for their future, non-essentials and the value of services rendered. The bereavement claim, fixed at £10,000 per claim (fixed in 2002, reviewable), is divided equally among the eligible dependants to compensate for the non-pecuniary aspects such as emotional stress. It is only available to the surviving husband or wife, or, if the deceased was unmarried and a minor, to the parents.

Defined in the Law Reform (Contributory Negligence) Act 1945, as ‘the negligence, breach of statutory duty or other act or omission which gives rise to liability in tort, or would apart from this Act, give rise to the defence of contributory negligence. Under the Employers’ Liability (Defective Equipment) Act 1969 fault means ‘negligence, breach of statutory duty, or other act or omission which gives rise to liability in tort in England and Wales or which is wrongful and gives rise to liability in damages in Scotland’. In professional liability insurance it is a ‘breach of a civil duty.

Legal system where an injured party can only recover compensation when able to attach fault to a third party. With the main exception of government-provided industrial injury benefits, the UK operates a fault liability system. The injured party has to prove a third party’s breach of duty in order to recover damages aided in some instances by legislation creating a strict liability, e.g. the Consumer Protection Act 1987.

In the context of the exclusion in the contractors’ all risks insurance, this means: (a) a design which fails to meet the standards expected of design engineers; and (b) a design that proves inadequate but without blame or negligence attaching to the design engineer (Queensland Government Railways v. Manufacturers’ Mutual Insurance Co. Ltd (1969)). The design simply has to be faulty for the exclusion to apply.

Insurers are not liable for a loss caused by action prompted by the fear of loss by an insured peril. The insured peril is the remote cause not the proximate cause of the loss. The principle does not absolve insurers from their liability for sue and labour charges, salvage charges or general average contribution when properly incurred to prevent loss from a actual or imminent peril.

The highest CII qualification. The basis of election is the presentation of a portfolio of evidence of the applicant’s abilities, achievements and experience. The starting point is an agreed examination. The starting point is an agreed examination benchmarked against the Advanced Diploma in Insurance or the post-1992 Associateship. The next step involves preparing a Fellowship plan including the applicant’s proposals in terms of timescale and ‘major achievements. The third step is a three-year period of continuous professional development and finally the applicant must complete a business ethics programme in recognition of the possible impact their decisions may have on others. Fellows are eligible for Chartered titles.

The CII’s highest qualification for financial advisers after passing 10 demanding examination papers.

Mortality rates, more favourable to women than men, enable life insurers to offer lower rates for life cover than those charged for men. Typically, insurers will deduct four years from their tabular rates (based on male lives) to find the rate for a female life.

Regulation 11 of PUWER places an absolute duty on the employer to prevent contact between people and dangerous machine parts by either preventing access or stopping the movement of the part. The following hierarchy of control must be followed ‘so far as is reasonably practicable’: fixed guards; other guards or protection devices; protection appliances (e.g. push sticks); information, instruction, training and supervision. This is to prevent or control exposure to mechanical hazards. Exposure to other hazards (e.g. scalds and burns, falling or ejection of articles) must also be prevented or controlled. Equipment should have clearly marked starting and stopping controls. Suitable means of isolation from sources of energy are also required. Equipment must be stable to prevent collapse or overturning and suitable lighting must provided.

Describes all of a cedant’s losses over a period of time, including losses retained for their own account. This enables the reinsurer to assess the effect of shifts in direct underwriting experience and consider the possible effect on future reinsurance claims.