Compensation to surviving relatives after medical malpractice – no deduction due to payment of life insurance

The Patient Injury Board had accepted liability for loss of a provider towards a spouse and two children after a woman died of cancer as a result of an inadequate diagnosis, see section 3-4 subsection 2 first sentence of the Compensatory Damages Act, cf. section 4 of the Patient Injury Act. The deceased had been covered under a group life insurance policy , and the Board made a deduction of approximately 20 per cent of the amount insured, section 3-1 subsection 3 second sentence. The Supreme Court initially stated that any insurance deduction must be made for each individual survivor, and not in the total amount insured before it is distributed to the survivors. The Court also stated – with reference to preparatory works, insurance case law and legal literature – as a guideline that no deduction should be made for life insurance payments in compensation for the loss of a provider if the payments are 15 G or less for adults and 5 G or less for children. Only in the case of payments which, for the individual survivor, are significantly above this level, should it be relevant to make such a closer assessment as prescribed in section 3-1 subsection 3 second sentence of the Compensatory Damages Act. In the individual case, there was no basis for making a deduction from the compensation.

Read the ruling (Norwegian only)

Areas of law: Tort law. Section 3-1 of the Compensatory Damages Act. 

Key paragraphs: 51-53

Justices: Normann, Kallerud, Bergsjø, Høgetveit Berg, Thyness