Third Parties (Rights against Insurers) Bill [HL] [Bill No. 79 of 2009-10]

The purpose of the Bill is to amend existing legislation governing the relationship between insurers and claimants, with specific regard to ‘third parties’, to make it easier and less expensive to claim compensation from insolvent defendants. Current legislation dictates that claimants must establish an insolvent defendant’s liability before bringing a separate claim against their insurer. The Bill would enable claimants to sue the insolvent defendant’s insurer directly, without having to sue the wrongdoer first. The Bill’s provisions are largely uncontroversial, and have widespread support from the majority of stakeholders.