We reported a few weeks ago that a woman had been awarded half a million pounds compensation for being infected with Legionnaires’ disease. Not surprisingly the insurers of the now defunct hotel are looking to avoid paying out. They are using an exclusion within their insurance, that says they are not liable for loss caused by bacteria or fungi. Its not clear how common such a clause is in US policies - but if insurers are able to exclude Legionella risks, will this make US building owners sit up and take responsibility for their water systems? Probably not, as in this case the hotel has already gone out of business and so the loser will be the ‘victim’ rather than hotel opperators.

The victim’s own lawyers are arguing that the exclusion “does not apply to goods or products for use for human consumption”. I can see an interesting court case developing here - arguing whether the water that infected their client was indeed intended for human consumption. Given that hot water systems are more commonly the problem than cold water systems; and that hot water is not intended for consumption - this story may not be over yet.