When does an exclusion for a ‘deliberate act’ apply?
It is fundamental to all insurance that it only covers a fortuity – that is, a loss that is accidental from the insured’s point of view. So, how are the courts to interpret a liability policy that excludes:
Liability arising out of deliberate acts …?
Deliberate acts cannot, by definition, be accidental. However, deliberate acts can still result in a loss that is accidental from the insured’s point of view; there is still a fortuity. For example, I deliberately burn some rubbish in an incinerator in my back yard, but the embers cause an accidental fire next door.