Test_Draft Regulations_1.21.22
EN 1
Article 2500 states that a liability insurance policy’s limits must be used solely to pay an injured third party’s claims.
Article 2503 stipulates that the liability insurer must actively defend the insured with respect to covered claims and must pay defence costs, interest, and third-party costs outside of the policy limits.
Article 2503 essentially restricts the contractual freedom of commercial parties that may have otherwise preferred to negotiate certain terms and agreements and/or waive this type of coverage.
EN 2
The draft regulation applies to civil liability insurance contracts of four main classes of insureds:
Drug manufacturers and their directors and officers or trustees (pharmaceuticals).
Certain companies and capital investment funds, such as the C.R.C.D., Fondaction, the F.T.Q., their subsidiaries and their directors and officers or trustees.
Large businesses, public corporations, foreign corporations, companies that carry on business outside Canada and their directors and officers or trustees.
Health services and social services organizations covered by the Act (S. 4.2), intermediate resources to support the autonomy of the elderly, private residences for the elderly (R.P.A.), health and social services institutions operating residential and long-term care or rehabilitation centres and their directors and officers or trustees.
FR 1
L’article 2500 stipule que les montants de garantie d’une police d’assurance responsabilité civile doivent être affectés uniquement au paiement des réclamations d’un tiers lésé.
L’article 2503 stipule que l’assureur responsabilité doit défendre activement l’assuré à l’égard des réclamations couvertes et qu’il doit payer les frais de défense, les intérêts et les frais engagés par des tiers supérieurs aux limites de la police.
Essentiellement, l’article 2503 restreint la liberté contractuelle des parties commerciales qui auraient pu préférer négocier certaines modalités et ententes ou renoncer à ce type de couverture.
FR 2