A lie on an insurance application will make the policy void even if the lie does not relate to the actual loss insured against.

Question

Quizplus · Accepted Answer

Insurance policies are based on the principle of utmost good faith, which means that the policyholder must disclose all relevant information to the insurer. If the policyholder lies on the insurance application, it is a breach of this principle and can result in the policy being voided. This applies even if the lie does not relate to the actual loss insured against.

A Lie on an Insurance Application Will Make the Policy