A traffic accident (case study)
The organisation's vehicle was correctly insured for third party risks in the programme country. It was involved in an accident in which the son of a diplomat was seriously injured. He was lucky to have good medical insurance which paid for his evacuation by air ambulance, and treatment in his home country – the same country as the head office of the organisation. The medical insurers paid for the evacuation and treatment but in turn claimed against the vehicle insurers. The maximum amount that could be claimed would have been adequate for treatment in the programme country but was far less than the medical insurers had paid out. The medical insurers discovered that the organisation's head office was in the home country and sued them for the balance of the claim.