News

Motor Insurers Bureau is deemed to provide security of continuity of payments under the Damages Act 1996 for damages to be paid by way of a Periodical Payment Order
1 February 2012

Simon Browne QC appeared in the case of Bennett v Stephens on behalf of the Defendant Road Traffic Insurer, a body which was not deemed to be a secure funder under the Damages Act 1996.

Together with the Claimant he argued that a Periodical Payment Order could be made pursuant to CPR rule 41 as the security of the continuity of payments was provided by the existence of the MIB or its successor in title.

Over extended hearings between July 2010 and November 2011 both Mackay J. and Tugendhat J. (Judgement January 25th 2012) separately found that such security was provided by the MIB in this case and a PPO would be made. This was the first time such rulings had been given involving the MIB.

It was also noted that the wording of the Final Order in this case may not be appropriate to be  adopted in similar cases in the future due to complications which arose during the hearings.