Armstead v Royal & Sun Alliance Insurance Co Ltd

Subject Matter

DAMAGES — Assessment — Loss of use of vehicle — Claimant involved in road traffic accident while driving hire car — Hire car damaged through negligence of other driver insured by defendant — Claimant continuing to use hire car — Car out of use for 12 days at end of hire for necessary repairs — Claimant charged rental for those days under terms of hire agreement — Whether claimant able to recover charges from defendant — Whether irrecoverable relational economic loss

[2022] EWCA Civ 497; [2023] 1 All ER 990; [2022] RTR 23, CA

NEGLIGENCE — Remoteness of loss — Contractual liability — Car hired by claimant damaged by negligence of defendant’s insured — Claimant liable to pay hire company rental charge for period when car under repair — Claimant claiming damages from defendant in respect of rental charge — Whether rental charge too remote to be recoverable — Whether irrecoverable as pure economic loss

[2024] UKSC 6; [2025] AC 406; [2024] 2 WLR 632; [2024] 3 All ER 263; [2024] RTR 19, SC(E)

NEGLIGENCE — Remoteness of loss — Burden of proof — Claimant proving that negligent breach of duty causing loss — Whether legal burden on defendant to prove loss too remote

[2024] UKSC 6; [2025] AC 406; [2024] 2 WLR 632; [2024] 3 All ER 263; [2024] RTR 19, SC(E)

Appellate History

Commentary

Law Society Gazette
Supreme Court rules that insurer should pay victim’s car hire losses Case news