Insurance in MOtion July 2025

Welcome to Insurance in MOtion! We're excited to share the latest insights and updates with you.
July 3 2025

Lack of Maintenance and Wear and Tear in Property Damage Home Claims: How Insurers and Homeowners are Embracing Technology and Initiatives to Prevent Home Insurance Disputes

The Insurance Contracts Act 1984 (Cth)

By Adrian Papaianni, Partner and Victor Hoang, Senior Associate 

In recent years, major Australian insurers have seen increased home insurance claims caused or contributed to by a lack of home maintenance and storm damage as cost of living pressures increase. In response, they’ve introduced new community education programs and are using Artificial Intelligence (AI) to help reduce claim rejections and avoid large payouts that can raise costs for everyone.

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When Does the Clock Begin Ticking on "Property Damage" Within the Definition Contained in an Insurance Liability Policy? 

AAI Limited v The Owners - Strata Plan No 91086 [2025] FCAFC 6 and Insurance Australia Limited t/as CGU Insurance v Capral Limited and Fairview Architectural Pty Limited [2025] FCAFC 46

By Adrian Papaianni, Partner and Hilda Shlemon, Lawyer

An analysis of the recent Federal Court of Appeal decisions in AAI Limited v The Owners - Strata Plan No 91086 [2025] FCAFC 6 and Insurance Australia Limited t/as CGU Insurance v Capral Limited and Fairview Architectural Pty Limited [2025] FCAFC 46 and their impact when Property Damage occurs under liability policies.

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The New Aged Care Act 2024: What Insurers and Providers Need to Know

The Aged Care Act 2024 (Cth)

By Louise Cantrill, Partner and Melanie Farry, Law Graduate

Commencing on 1 November 2025, the new Aged Care Act 2024 (Cth) will increase protections for elderly Australians and promote more rights-based aged care service provision. In doing so, the new legislation imposes new risks for aged care providers and insurers due to the higher standards of care and stricter regulatory oversight mechanisms that are being introduced.  Aged care providers will need to closely review insurance policies and internal practices to ensure that the new legislation is complied with.

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When Experts Disagree: What Nemes Tells Us About s 50

Nemes v South Eastern Sydney Local Health District [2025] NSWSC 418

By Louise Cantrill, Partner and Melanie Farry, Law Graduate

The New South Wales Supreme Court recently made some key observations about the circumstances in which there may be more than one acceptable professional course of action and how  s 5O of the Civil Liability Act 2002 (NSW) might apply in those circumstances when assessing the actions of staff at the Royal Hospital for Women at Randwick in the antenatal care of Bendeguz Nemes (“Benny”) during his delivery on 2 April 2016.

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Scooters, Standards and Shared Paths

Leibbrandt v City of Joondalup [2025] WADC 31 

By Rebecca Roberts, Partner and Bronte Tanna, Law Graduate

Further verification that a Defendant’s failure to follow a standard is not on its own sufficient to establish negligence and will only be a guide for the standard of reasonable care required.  A Court can look beyond the standard when considering the facts of the case.

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Defining Disability: The Limits of 'Own Occupation' in Total and Permanent Disability (TPD) Insurance Claims

Murphy, McCarthy & Associates Pty Ltd t/as MMA Civil Contractors (Subject to Deed of Company Arrangement) v Zurich Australia Ltd [2025] NSWCA 131

By Nica Manosca, Associate and Megan Venus, Special Counsel

The New South Wales Court of Appeal dismissed MMA’s appeal against the rejection of a TPD insurance claim, finding no error in the primary judge’s conclusion that Mr Heron was not unlikely ever to work in his “own occupation” following a hip replacement. The Court emphasised that “occupation” must be interpreted based on the insured’s actual duties, not job titles or generic classifications.

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Outsourcing Duty, Not Responsibility: Key Lessons of Landlord Obligations

Atkins v Hughes [2025] SADC 51

By Grant Mitchell, Partner, Juliana Marcus, Lawyer, Poppy Scaife, Paralegal

Atkins v Hughes [2025] SADC 51 demonstrates that a landlord's duty of care can be delegated to an agent, such as a property manager. However, the Court found that landlords remain legally liable for their agent’s negligent acts, as such conduct is attributed to them under the law relating to agency.

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When No Duty of Care is Owed 

Tsiragakis v Mallet [2025] VSCA 134

By Stuart Eustice, Partner and Lidia Martinez Chavez, Lawyer

In Tsiragakis v Mallet [2025] VSCA 134, the court examined whether a coworker owes a duty of care to avoid causing psychiatric harm by inflicting self-harm through a suicide attempt. The court ultimately held that no such duty exists in these circumstances, emphasising that reasonable forseeability alone is insufficient to impose liability without a close relationship or direct involvement.

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When Is a Case 'Exceptional' Warranting a Permanent Stay on Proceedings? 

Trustees of the Christian Brothers v Colbert (a pseudonym) [2025] VSCA 122

By Stuart Eustice, Partner and Ashleigh Shankly, Lawyer

The Victorian Court of Appeal upheld the refusal to permanently stay abuse claims against the Trustees of the Christian Brothers, ruling that despite loss of evidence over 70 years, the case did not meet the threshold of 'exceptional circumstances' to prevent a fair trail. The decision reinforces that delays and challenges due to time alone are insufficient grounds to halt such proceedings.

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A Snapshot of Registered Health Practitioner Misconduct in Victoria

By Stuart Eustice, Partner and Zoe Vlahogiannis, Lawyer

A snapshot of registered health practitioner misconduct in Victoria.

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