Tilley & 4 Ors v Allianz Australia Insurance

The case of Tilley & 4 Ors v Allianz Australia Insurance was heard in the Supreme Court of Victoria. The plaintiffs, the building owners, sought compensation from Allianz Australia Insurance, their home warranty insurer, for damages that occurred during the construction of their homes. The defendants, Allianz, argued that the building contracts had been entered into after the period of insurance had expired, and therefore, they were not liable for the damages.

The primary legal issue before the court was whether Allianz was liable for the damages that occurred during the construction of the plaintiffs' homes. This hinged on whether the period of insurance had expired before the building contracts were made, and if Allianz was required to provide coverage for the period between the expiration of the insurance and the completion of the building contracts.

The court found that Allianz was liable for the damages. The court reasoned that Allianz was required to provide coverage for the entire period of the building contracts, even if the insurance had expired before the contracts were made. The court held that Allianz was obligated to provide coverage for the period between the expiration of the insurance and the completion of the building contracts, as this was the period during which the damages occurred. The court further held that Allianz was not entitled to rely on the fact that the insurance had expired before the building contracts were made, as this did not absolve them of their obligations under the insurance policy.

The court ordered Allianz to pay compensation to the plaintiffs for the damages that occurred during the construction of their homes. The court also ordered Allianz to pay the costs of the proceedings. This decision provides important guidance for building owners and insurers regarding the scope of coverage provided by home warranty insurance policies.