The Motor Vehicle Accident Claims Fund appealed a Superior Court decision that remitted an arbitration award back to the arbitrator.
The dispute arose after Kingsway cancelled an auto insurance policy for non-payment two days before an accident, leading the Fund to pay the injured party's accident benefits and seek reimbursement.
The arbitrator ordered Kingsway to pay the benefits permanently due to a breach of section 2 of O. Reg. 283/95, finding a 'significant nexus' between Kingsway and the insured.
The Superior Court held the arbitration was not under O. Reg. 283/95 because the Fund was not an 'insurer', and remitted the matter to determine if Kingsway was actually an insurer.
The Court of Appeal allowed the appeal in part, holding that the Fund is an insurer under the regulation, but upheld the decision to remit the matter to the arbitrator to determine if Kingsway was an insurer at the time of the accident.
