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Question 10 - Across more than one Learning Outcome (30 marks) You are an insurance broker. Roger, one of your clients, owns a building for

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Question 10 - Across more than one Learning Outcome (30 marks) You are an insurance broker. Roger, one of your clients, owns a building for which he has taken out a mortgage. The building has some unique features, including a decorative dining room and an ornate staircase, which makes it ideal for its current use as a wedding venue. You have arranged buildings insurance cover based on a sum insured of 760,000. Roger advised you that a fire has caused extensive damage to the building. 0n investigation. it is established that the fire was started by a group of trespassers, one of whom was injured as a result of the fire. Roger is aware that these trespa ssers have regularly entered the grounds of the building. You had notified the building insurer of Roger's claim for the re damage. Roger has received an estimate to repair the building which has been approximated at 450,000. The insurer disputes this figure as they believe it can be rebuilt to modern day standards at a lower cost of 350,000. The fire damage has resulted in the closure of the building and has led to all future wedding bookings being cancelled, resulting in a loss of income for Roger. Roger asks you for your advice. (a) Explain, with justification, the basis on which Roger is entitled to be indemnied for the fire damage under his policy. Refer to one case in support ofyour explanation. (b) Explain, with justication, the implication of Roger, having taken out a mortgage on the building. Refer to one statute in support of your exploration. (c) Explain, with justification, the extent of Roger's legal liability in respect of the trespasser's injury. Refer to one statute in support of your expfanatfon. (d) Explain, with reference to the law of tort, the likelihood of Roger recovering his loss of income. Refer to one case in support of your exptanatr'on. (10) (4) (3) (8)

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