Third Parties (Rights against Insurers) Act 2010
| Jurisdiction | UK Non-devolved |
| Citation | 2010 c. 10 |
| Year | 2010 |
a relevant person incurs a liability against which that person is insured under a contract of insurance, ora person who is subject to such a liability becomes a relevant person.(2) The rights of the relevant person under the contract against the insurer in respect of the liability are transferred to and vest in the person to whom the liability is or was incurred (the “third party”) .(3) The third party may bring proceedings to enforce the rights against the insurer without having established the relevant person's liability; but the third party may not enforce those rights without having established that liability.by virtue of a declaration under section 2 or a declarator under section 3,by a judgment or decree,by an award in arbitral proceedings or by an arbitration, orby an enforceable agreement.references to an “insured” are to a person who incurs or who is subject to a liability to a third party against which that person is insured under a contract of insurance;references to a “relevant person” are to a person within sections 4 to 7 F11(and see also paragraph 1A of Schedule 3) ;references to a “third party” are to be construed in accordance with subsection (2) ;references to “transferred rights” are to rights under a contract of insurance which are transferred under this section.claims to have rights under a contract of insurance by virtue of a transfer under section 1, buthas not yet established the insured's liability which is insured under that contract.a declaration as to the insured's liability to P;a declaration as to the insurer's potential liability to P.(3) In such proceedings P is entitled, subject to any defence on which the insurer may rely, to a declaration under subsection (2) (a) or (b) on proof of the insured's liability to P or (as the case may be) the insurer's potential liability to P.(4) Where proceedings are brought under subsection (2) (a) the insurer may rely on any defence on which the insured could rely if those proceedings were proceedings brought against the insured in respect of the insured's liability to P.(5) Subsection (4) is subject to section 12(1) .(6) Where the court makes a declaration under this section, the effect of which is that the insurer is liable to P, the court may give the appropriate judgment against the insurer.(7) Where a person applying for a declaration under subsection (2) (b) is entitled or required, by virtue of the contract of insurance, to do so in arbitral proceedings, that person may also apply in the same proceedings for a declaration under subsection (2) (a) .(8) In the application of this section to arbitral proceedings, subsection (6) is to be read as if “ tribunal ” were substituted for “court” and “ make the appropriate award ” for “give the appropriate judgment”.(9) When bringing proceedings under subsection (2) (a) , P may also make the insured a defendant to those proceedings.(10) If (but only if) the insured is a defendant to proceedings under this section (whether by virtue of subsection (9) or otherwise) , a declaration under subsection (2) binds the insured as well as the insurer.(11) In this section, references to the insurer's potential liability to P are references to the insurer's liability in respect of the insured's liability to P, if established.claims to have rights under a contract of insurance by virtue of a transfer under section 1, buthas not yet established the insured's liability which is insured under that contract.a declarator as to the insured's liability to P;a declarator as to the insurer's potential liability to P.(3) Where proceedings are brought under subsection (2) (a) the insurer may rely on any defence on
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