The insured's tractor-trailer was damaged in a rear-end collision.
The vehicle was covered by a collision policy from one insurer and a liability policy from another.
The collision insurer paid for the damage and brought a subrogated claim against the liability insurer.
The motion judge held the subrogated claim was barred by section 263(5) of the Insurance Act.
On appeal, the Court of Appeal held that section 263(5) only bars subrogated claims for payments made under a motor vehicle liability policy.
Because the collision policy was not a motor vehicle liability policy, the subrogated claim was permitted under section 278(1) of the Act.
