Aviva, Chubb and Desjardins sued by Ottawa diocese over sex abuse costs

Church claims insurers have breached their contractual obligations

Aviva, Chubb and Desjardins sued by Ottawa diocese over sex abuse costs

Insurance News

By Bethan Moorcraft

Aviva Canada, Chubb Insurance Company of Canada, and Desjardins General Insurance have all been sued by the Archdioceses of Ottawa for allegedly failing to cover costs associated with 12 historic sex abuse lawsuits.

The cases in contention involved allegations of sexual abuse that date back as far as 1971, according to a report in the Ottawa Citizen. One of the priests named in the suits was Dale Crampton, who has been described as the most notorious perpetrator in Ottawa’s clergy sexual abuse scandal after being credibly accused of abusing at least 15 children, many of whom were altar boys.

According to court reports, the Archdiocese of Ottawa contends that Aviva, Chubb and Desjardins have obligations under old insurance policies to cover costs tied to 12 historic sex abuse lawsuits.

Aviva, which is allegedly involved with seven of the cases, has denied the insurance claims. The Ottawa Citizen reported the archdiocese is now asking a court to find that the insurer breached its contractual duties and must cover the costs to defend and settle the abuse claims.

The archdiocese is seeking similar suits against Chubb and Desjardins, but neither insurer has yet filed a statement of defence.

This isn’t the first time the Archdiocese of Ottawa has filed lawsuits against its insurance companies over costs associated with sexual abuse claims. About five years ago, the archdiocese took on La Mutuelle and the Travelers Insurance Company of Canada to try and secure liability coverage for another 12 historic sex abuse claims.

In the province of Ontario, there’s no limitation period on sexual abuse lawsuits, meaning that people can file claims for alleged abuse that might have happened decades ago. Insurers often resist paying the claims because they see the criminal abuse as intentional and therefore exempt from or disqualified from coverage.  

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