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Win for insurers short-lived: NSW Court of Appeal overturns approach for addressing claims for luxury replacement vehicles

On 27 September 2019, we provided an update on the developments in the law relating to the vehicle hire industry, particularly exorbitant claims by plaintiffs for prestige (or luxury) replacement vehicles following vehicle accidents negligently caused by others.  A very recent NSW Court of Appeal decision has altered this position and we discuss the implications of the decision for the vehicle hire industry and insurers, below.
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Higher decisions for hire cars: addressing exorbitant claims for replacement vehicles

On 3 September 2019, Basten J of the NSW Supreme Court delivered appeal Judgments in three cases heard concurrently and (for the time being) confirmed the correct approach for assessing damages in claims for hire vehicle costs following an accident.  

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