Fraudulent Misrepresentation
Dishonest statement to induce an insurance company to write coverage on an applicant. If the company knew the truth, it would not accept the applicant. Fraudulent misrepresentation gives a property and casualty company grounds to terminate a policy at any time. A life insurance company, on the other hand, can terminate a policy on the grounds of fraudulent misrepresentation only during its first two years; after that, the incontestable clause takes effect.
Popular Insurance Terms
Federal law passed in 1920 that allows any seaman incurring bodily injury as the result of the performance of one or more functions of the job to bring a suit for damages against the ...
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Injury covered in a health insurance policy that is isolated from any previous injury. ...
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