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MOTOR ACCIDENTS COMPENSATION ACT 1999 - SECT 50
Acceptance of provisional liability by insurer
50 Acceptance of provisional liability by insurer
(1) An insurer of a motor vehicle must give written notice to an injured
person who has duly submitted a completed accident notification form to the
insurer stating whether or not the insurer accepts provisional liability in
respect of the treatment expenses and lost earnings concerned.
(2) It is the
duty of the insurer of a motor vehicle involved in the motor accident that
resulted in an injured person's injuries to accept provisional liability in
respect of the treatment expenses and lost earnings of the injured person
(whether or not the person's injuries were caused by the fault of the owner or
driver of the vehicle in the use or operation of the vehicle and even if the
motor accident was caused by the fault of the injured person).
(3) The notice
is required to be given within 10 days after the insurer receives the accident
notification form. The regulations may shorten or extend that period.
(4) If
the insurer fails to notify the injured person in accordance with this
section, the insurer is taken to have accepted provisional liability.
(5)
Despite anything to the contrary in this section, an insurer who is, or is
acting for, the Nominal Defendant under section 34 (Claims against
Nominal Defendant where vehicle not identified) is not taken to have accepted
provisional liability unless the insurer has given written notice accepting
provisional liability.
(6) Nothing in this section prevents the insurer from
accepting provisional liability after having denied that liability.
(7) An
insurer is required to pay for the treatment expenses and lost earnings of an
injured person in accordance with this Part only if the insurer has accepted
or is taken to have accepted provisional liability in respect of them.
(8)
Payments under this Part are payments as compensation for the treatment
expenses or lost earnings concerned, but neither those payments nor the
acceptance of provisional liability under this Part by an insurer constitutes
an admission of liability by the insurer in connection with a claim in respect
of the motor accident.
(9) A payment made under this Part before the injured
person obtains judgment for damages against the defendant is, to the extent of
its amount, a defence to proceedings by the injured person against the
defendant for damages.
(10) It is a condition of an insurer's licence that
the insurer must comply with this section.
(11) In this section--
"insurer of a motor vehicle" means the insurer who insures the owner of the
motor vehicle against liability in respect of the death of or injury to a
person caused by the fault of the owner or driver of the vehicle in the use or
operation of the vehicle.
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