What is concealment under the Insurance Code? | 09 December 2023

Concealment is the neglect to communicate that which a party knows and ought to communicate

What is concealment under the Insurance Code?

Concealment is the neglect to communicate that which a party knows and ought to communicate.

Each party to a contract of insurance must communicate to the other, in good faith, all facts within his knowledge which are material to the contract and as to which he makes no warranty, and which the other has not the means of ascertaining.

An intentional and fraudulent omission, on the part of one insured, to communicate information of matters proving or tending to prove the falsity of a warranty, entitles the insurer to rescind.

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