Third Parties - Rights against Insurers - Act 2010 unlikely to be implemented until 2013

Under the Lord Chancellor's obligation to report to Parliament on the implementation of Law Commission proposals, Kenneth Clarke has advised that implementation of the above Act has been delayed by work on other priorities. However, the work that has been carried out to date has led to the provisional conclusion that to aid the smooth commencement of the Act, the following will be necessary:

  •     some new rules of court
  •     a small amendment to the Act to cover all forms of administration; and
  •     an extension of the Act to the newly introduced Debt Relief Orders in Northern Ireland.

As a result, it is unlikely that the Act will be commenced until 2013.

The Third Parties (Rights against Insurers) Act 2010 makes it easier for a third party to pursue a claim directly against liability insurers if the insured is or becomes insolvent.

Ministry of Justice, Report on the implementation of Law Commission proposals, 22 March 2012.

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