SASRIA Limited v Slabbert Burger Transport (Pty) Ltd

The respondent, a transport company, insured one of its trucks under a SASRIA coupon insurance policy covering loss or damage directly related to or caused by any riot, strike or public disorder. During a lawful strike by members of SATAWU in March 2005, non-striking drivers continued to work and were assaulted, and trucks were damaged and set alight. On 2 March 2005, while the strike was ongoing, the insured truck was parked at a truck stop by a non-striking driver and was destroyed by fire after unidentified men purchased petrol and matches nearby. The value of the truck was R600 000. SASRIA repudiated liability, contending that the damage was not caused by a peril covered by the policy.

The appeal was dismissed with costs, including the costs of two counsel, and the order requiring SASRIA to indemnify the respondent in the amount of R600 000 was upheld.

The case is important for South African insurance law as it affirms that policy terms will generally be given their ordinary meaning unless the insurer clearly indicates otherwise. It reinforces the application of the contra proferentem rule in insurance contracts and clarifies that damage causally connected to a strike may fall within SASRIA cover even if the conduct is covert or not publicly violent.