Dutch Court adopts new approach to test of reasonableness and fairness in primary coverage provisions

 June 19, 2024 | Publication

The Supreme Court of the Netherlands issued an important judgment in the treatment of insurance provisions and whether they must pass the test of reasonableness and fairness.

In its decision of 16 February 2024 (ECLI:NL:HR:2024:258), the Supreme Court put an end to the historic approach where primary coverage provisions do not have to meet the restrictive standard. Going forward, both preventive warranty clauses and primary coverage clauses may potentially be set aside on the principle of reasonableness and fairness.

The decision marks the second time in less than five years that the Supreme Court has instigated a development of law in the area of insurance.

Click here to read the full publication.

The Supreme Court of the Netherlands issued an important judgment in the treatment of insurance provisions and whether they must pass the test of reasonableness and fairness.

In its decision of 16 February 2024 (ECLI:NL:HR:2024:258), the Supreme Court put an end to the historic approach where primary coverage provisions do not have to meet the restrictive standard. Going forward, both preventive warranty clauses and primary coverage clauses may potentially be set aside on the principle of reasonableness and fairness.

The decision marks the second time in less than five years that the Supreme Court has instigated a development of law in the area of insurance.

Click here to read the full publication.

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