James Hardie & Co & Anor v Grigor (S75-98 SLA

The Supreme Court of New South Wales heard an appeal concerning a dispute between James Hardie & Co Pty Ltd and its insurer, Grigor, regarding the interpretation of a workers' compensation insurance policy. The core of the disagreement lay in whether the policy covered certain claims made by employees of James Hardie.

The primary legal issue before the Court was to determine the scope of coverage provided by the workers' compensation insurance policy issued by Grigor to James Hardie. Specifically, the Court had to ascertain whether the policy indemnified James Hardie against claims arising from specific types of injuries or illnesses experienced by its employees, particularly those that may have manifested or been diagnosed after the policy period had expired.

The Court's reasoning focused on the principles of contractual interpretation as applied to insurance policies. It examined the wording of the policy, considering the ordinary meaning of the terms used and the overall intention of the parties at the time the contract was formed. The Court analysed whether the policy provided cover on a "claims made" basis or an "occurrence" basis, which is crucial for determining when a claim is deemed to have been made for the purposes of triggering indemnity. The Court ultimately found that the policy was intended to cover claims made during the currency of the policy, irrespective of when the injury or illness occurred.

The appeal was dismissed, with the Court upholding the primary judge's decision that the insurer was not liable for the claims in question.