Motor Accident Injuries Act 2019

This section applies if—

personal injury is caused by a motor accident involving an insured person; and

the motor accident is attributable wholly or partly to a defect in a motor vehicle; and

the defect arose from the wrongful act or omission of the manufacturer or a person who carries on a business of repairing motor vehicles (the repairer).

The insurer may recover as a debt from the manufacturer or repairer the proportion of the costs reasonably incurred by the insurer for a motor accident claim for the personal injury that reasonably reflects the percentage of the manufacturer’s or repairer’s responsibility for the motor accident.

However, it is a defence for the manufacturer or repairer to prove that the insured person for the motor vehicle drove the motor vehicle with knowledge of the defect and its likely effect.

Note 1 An MAI policy insures against the risk of liability for personal injury caused by a motor accident (see s 292).

Note 2 An amount recovered under this section by the nominal defendant must be paid into the nominal defendant fund (see s 330).