Good faith for insurers too
Dealings between powerful financial services companies and little people are riven with double standards and a crushing power imbalances.
We’ve seen a lot of that since the Canterbury earthquakes left families battling to get their homes properly fixed.
The case of Greg Young and Tower insurance was a case in point.
Young’s house was damaged in the Canterbury earthquakes of 2010 and 2011. Tower wanted to repair. The man said only a rebuild was possible.
Cue long and gruelling court fight.
Long story short: In December High Court found Tower was wrong, Young was right.
The High Court judgement revealed Tower had kept secret a short report it had commissioned which said Young was right that his home should be rebuilt.
Not revealing that report to Young was a breach of good faith by Tower to its policyholder, the