19th April 2013
A confidential settlement has been reached between a retired Christchurch couple and their insurance company.
Matt and Valerie O’Loughlin took Tower Insurance to court after it agreed to only pay repair costs for their red zoned Dallington home.
The house is in the red zone and cannot be lived in beyond July. The O’Loughlins believed their insurers were bound to pay the amount of a replacement house rather than the cost of repairs.
Valerie and Matthew O’Loughlin outside the High Court in Christchurch
In reaching an interim decision earlier this month, Justice Raynor Asher ruled Tower was bound to make a payment for the full replacement value of the O’Loughlins’ house on another site.
Asher wanted to hear more argument about what the cost could be.
However, it was announced today that a confidential settlement had been reached between the O’Loughlins and Tower.
Tower’s group managing director Rob Flannagan said today the company was pleased the matter has been settled.
“We welcomed the clarity that the decision provided,” Flannagan said.
“This time has been very emotional, stressful and expensive for us,” they said.
The O’Loughlins said they hoped their case would give other people the confidence to fight for their rights.