01.Core Concepts

Representations are statements made by the applicant for insurance A contract is voidable if the representation is material, false, and relied on by the insurer Material means that if the insurer had known the true facts, the policy would not have been issued or would have been issued on different terms Reliance means that the insurer relies on the misrepresentation in issuing the policy at a specified premium An innocent misrepresentation of a material fact, if relied on by the insurer, makes the contract voidable ‹#›