Without Proof Of Driver’s Impairment, Plaintiff’s Insurer Is Ordered To Pay

Conrad v. Wawanesa Mutual Insurance, 2015 NBQB 14

On the evening of November 7, 2012, Rosalind Conrad and her friend Kelly Rideout were taking in the uptown Saint John nightlife. They both had a few drinks early in the evening, and then went to a bar for more drinks.

Ms. Conrad became separated from Ms. Rideout while at the bar. However when they met up outside Ms. Conrad's car at the end of the night, Ms. Rideout appeared sober and asked if she could drive Ms. Conrad's car home. Ms. Conrad asked if Ms. Rideout was sober. Then the two began to head home with Ms. Rideout driving.

Unfortunately, while travelling across the Harbour Bridge, Ms. Rideout rear-ended another car, causing more than $18,000.00 in damage to Ms. Conrad's vehicle. Ms. Rideout was arrested by police upon suspicion of driving while impaired. This criminal charge was later dropped.

However, Ms. Conrad's insurer, Wawanesa Mutual Insurance, denied coverage for the repairs. It alleged that Ms. Rideout was impaired by alcohol at the time of the collision, and, further, that Ms. Conrad knew or should have known that Ms. Rideout was intoxicated when allowing her to drive.

At trial, Mr. Justice Grant ruled in favour of Ms. Conrad, stating that it was her insurer's duty to justify its refusal of benefits. In order to prove its case...