Does an Innocent Misrepresentation in an Application for General Insurance

Does an innocent misrepresentation in an application for general insurance entitle the insurer to refuse to pay a claim?

A) No,but they can reduce their liability to nil if they can show that would not have entered into the contract if the misrepresentation had not been made.
B) Yes,the insurer can refuse,but only if the insurer is in a different position than they would have been had the misrepresentation not been made.
C) Yes,the insurer is entitled to avoid the contract entirely.
D) No,the insurer cannot refuse to pay the claim.