Navigators Insurance Company Limited and others (Respondents) v Atlasnavios-Navegacao LDA (formerly Bnavios-Navegacao LDA) (Appellant)
Case ID: UKSC 2016/0192
Whether clause 4.1.5 of the standard form Institute War and Strikes Clauses 1/10/83, which excludes losses arising from detainment by reasons of infringement of customs regulations, operates to exclude a claim where the infringement of customs regulations occurred due to an insured peril.
The Appellant is the owner of a vessel. It took out standard war risks insurance on the Institute War and Strikes Clauses 1/10/83 with additional perils. Whilst docked in Venezuela a large amount of cocaine was discovered strapped to the vessel’s hull by divers carrying out an inspection. This contravened Venezuelan law and the vessel was detained and subsequently seized by the Venezuelan authorities. The Appellant claimed for a constructive total loss. The Respondents sought to rely on the exclusion clause 4.1.5 which excluded from the policy losses arising from detainment by reason of infringement of customs regulations.
Atlasnavios-Navegacao LDA (formerly Bnavios-Navegacao LDA)
Navigators Insurance Company Limited and 13 others
Lord Mance, Lord Sumption, Lord Carnwath, Lord Hughes, Lord Briggs
Hearing start date
20 Mar 2018
Hearing finish date
21 Mar 2018