Gornitzky represented the Phoenix Insurance Company in a motion to approve a class action filed against it, claiming that comprehensive insurance fees are being over-collected due to the fact that a vehicle’s value calculated at the time of purchasing the insurance is higher than its value in practice.
The court dismissed the motion to approve the class action and accepted the arguments brought forward by the Phoenix. The company stated that according to the provisions provided by the Commissioner of Capital Markets, Insurance and Savings, it is not obligatory for insurance fees to be affected by the particular variables of a given vehicle, yet these may affect insurance compensation, subject to full disclosure before the insured. In addition, the company’s arguments regarding the manner in which insurance fees and compensation are calculated were also accepted by the court.
The Phoenix was represented by Noam Ronen (Partner) and Nimrod Saville (Associate).