ABSTRACT
A standard public liability policy typically provides cover in respect of both public liability and products liability as follows: The Insurer will indemnify the Insured against legal liability to pay compensation and claimants costs and expenses in respect of accidentalloss of or damage to material property or similar words. And liability must be to pay damages or compensation and it was held that 'loss or damage to property' is a 'reference to the property of the third party claimant and not that of the insured'. Similarly, insurers are cautious about agreeing to insure liabilities voluntarily accepted by an insured under contract, since the insured may accept additional liabilities that it is hard for the insurer to value when assessing the premium. Insurers are concerned only where the bad workmanship or bad design causes damage to the works. The insurers' position was that the platform was merely defective, not damaged.
