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Insurers' asbestos bid fails

Friday 08 January 2010
by Paddy McGuffin
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Some of Britain's largest insurance firms have failed in their bid to overturn the Scottish government's reinstatement of compensation to pleural plaques victims.

Unlike the Westminster Parliament, the Scottish government has overturned a 2007 House of Lords ruling denying compensation to sufferers.

Insurers, who could now be liable for massive compensation bills, sought a judicial review, ironically utilising human rights legislation, in a bid to have the Scottish Parliament's decision scrapped.

But yesterday the Court of Session, presided over by Lord Justice Emslie, threw out the case of Axa and other leading insurers, saying they had clearly failed to make their arguments.

While the firms have the right to appeal, the ruling is a huge victory not just for sufferers but also for the Scottish Parliament itself.

Welcoming the judgement, Scottish TUC general secretary Grahame Smith said: "We are delighted that Lord Emslie has made a judgement which will allow those suffering from pleural plaques to pursue cases in Scotland.

"This is a victory for those suffering from asbestos-related conditions, for those who represent them and for the Scottish Parliament which acted so swiftly to ensure that the Act was passed."

West of Scotland SNP MSP Stuart McMillan also welcomed the decision.

"The Scottish Parliament took the democratic decision to pass this legislation and to ensure sufferers have access to compensation," he said.

"In Scotland we have the legislation to ensure those who should be compensated for their injuries receive that compensation - not to deprive people of legitimate compensation as the insurance companies were attempting."

Construction union UCATT said Westminster must now act to restore compensation as a matter of urgency.

General secretary Alan Ritchie said: "The British government must now move swiftly to restore full compensation to all pleural plaques sufferers.

"Pleural plaques victims must not be trapped in a postcode lottery about whether or not they receive compensation."

He also condemned the insurers' grasping attempts to avoid responsibility.

"The insurance industry were using the judicial review to delay paying compensation to asbestos victims both north and south of the border," he said.

"It was a very cynical manoeuvre and I am pleased it has failed."

A spokesman for the Association of British Insurers said it was deeply disappointed with the decision and was considering whether to appeal.

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