Claim Against Brokerage Employee Struck

A Statement of Claim that seeks relief against an insurance broker and its employee must adequately distinguish the allegations made against the employee from those made against the company.

In ACI Brands Inc. v. Aviva Insurance Co. of Canada, the plaintiff, ACI Brands Inc., alleged that it was sold inadequate insurance coverage by the defendants. The defendants were an insurance company (Aviva Insurance Company of Canada), an insurance broker (Jones Brown Inc.) and an employee of Jones Brown Inc. (Stephen Smith).

The plaintiff’s Statement of Claim did not outline Smith’s role other than to say that he was the Jones Brown Inc. employee who had secured insurance coverage for ACI. The Statement of Claim did not differentiate the allegations made against Smith from those made against Jones Brown Inc. (the allegations were made against “the Broker and/or Smith”).

Smith brought a motion to strike the plaintiff’s pleading under Rule 21.

The court cited the Ontario Court of Appeal decision in ScotiaMcLeod Inc. v. Peoples Jewellers Ltd., which stated that, in order to hold an employee personally liable for his or her conduct, the employee’s conduct must demonstrate that the employee acted with a “separate identity or interest from that of the company so as to make the act or conduct complained of their own”.

Given that the Statement of Claim failed to differentiate Smith’s conduct from that of Jones Brown Inc., and thus failed to demonstrate that separate identity or interest, the court struck the claim as against Smith for disclosing no reasonable prospect of success.

Broad Definition of the Term “Accident”

In the decision VanBerlo v. Aim Underwriting Ltd., 2014 ONSC 4648 (S.C.J.), the Ontario Superior Court recently considered the meaning of the term “accident”. The plaintiff crashed while attempting to take off in his twin-engine aircraft when he was aware that only one of the two engines was functioning. Although he had never done this before, it was the plaintiff’s belief that the aircraft was capable of taking off with only one engine. Additionally, he felt that it was able to safely make the six-minute flight to his destination. The plaintiff sought to recover the damages to the plane under his Aircraft Policy of Insurance. The insurer argued that this did not fall under the definition of an "accident" and the policy was not triggered.

The Court reviewed the existing case law and concluded that the term "accident" is "an unlooked for mishap or occurrence”. Applying this definition, the Court found that an accident can occur where the conduct of the insured constitutes negligence and even gross negligence. In this case, the court held:

“It cannot be said, on the facts, that the plaintiff realized the danger of his actions and deliberately assumed the risk; nor can it be said that the plaintiff’s conduct rose to a level of recklessness or culpability such that the occurrence was no longer an accident.”

The insurance was policy was required to pay the damages sought by the plaintiff.

Increasing Your Longevity with Exercise

Most people want to live longer lives. Although this desire is naturally one of self-interest, others benefit as well. Your family depends on your support, both emotional and financial. Therefore their security depends on how well you take care of yourself. While you can and should provide financial security with the right life insurance plan, it's in their best interest that you are always there to see them through the challenges they will face.

The Minimal Exercise Requirement

There are many scientific studies that support the claim that exercise prolongs life. So the question is not whether you should exercise, it's how much and what kind you should do. The good news is that the minimum amount for increasing longevity isn't much at all. As long as it's done on a regular basis and elevates your heart rate, you will benefit. A brisk 11 minute daily walk is all you need to benefit. By increasing the length of these walks, you will get increased longevity gains. However, additional gains level off at about 43 minutes of daily brisk walking.

Why Exercise Prolongs Life

Like unused plumbing that corrodes and fills with deposits, the cardiovascular system needs to be put to use for optimal performance. Otherwise the heart muscle weakens, plaque builds up on the walls of blood vessels and blood vessel inflammation occurs, which restricts blood flow. Heart disease is a major killer of sedentary people. With the cardiovascular system, you must literally use it or lose it and of course, you need it to stay alive.

Exercise reduces the risk of chronic illness. It also causes secondary effects that prolong life. These effects include an improved sense of well-being, stress reduction, improved sleep, reduced muscle loss and stronger bones. Unhappiness, chronic stress and insufficient sleep have been shown to shorten life. Retaining as much muscle mass as possible is important because muscle tissue elevates the metabolism, which means fewer calories are stored as fat. Muscle mass prevents falling, which can cause serious injuries in the elderly population. A life habit of brisk walking keeps the leg muscles active and reduces their atrophy. Including strength exercises in your routine will also increase these benefits.

Those who make exercise a part of their lives also tend to be more health conscious in general. These additional health habits, such as a good diet, can add extra years to your life beyond what you achieve with exercise alone.

Another benefit of exercise is that it makes you a good candidate for life insurance. The younger and healthier you are, the lower your premiums. Life insurance providers generally use a health classification system. The highest ratings correspond to the healthiest candidates, while the lowest ratings correspond to health levels that are close to being uninsurable. There may be as many as 15 classifications. Each successive level down from the top might be charged as much as 25 percent more than the level just above it. As you can see, the premiums you pay quickly add up as you go down the health classification levels.

Being in good health literally pays. If you aren't insured, consider its advantages and talk to your independent insurance agent.

Get a quote today. Call Bryan Insurance Agency at 845-565-2200 for more information on Long Island life insurance.