In the recent Ontario Court of Appeal case, TD General Insurance Co. v. Intact Insurance Co.,  ONCA 5, the passenger of a boat sustained injuries when the boat struck the shoreline.
The passenger sued both the driver and the owner of the boat. Two insurance policies were triggered by the loss. The owner of the boat held a TD insurance policy that covered the driver, who was driving the boat with the owner’s permission. The driver was also covered by his own homeowner’s policy, issued by Intact.
The two policies had identical “other insurance clauses”. The clauses provided as follows:
If you have other insurance which applies to a loss or claim, or would have applied if this policy did not exist, this policy will be considered excess insurance and we will not pay any loss or claim until the amount of such other insurance is used up.