We rely on the information you provide to make a decision on whether we can provide you with cover and to price your risk accurately. Sometimes it does happen that a person gives the wrong information deliberately – but more often it’s an innocent mistake.
The Consumer Insurance (Disclosure and Representations) Act 2015 might sound like another insurancy legalese term but it’s in place to protect consumers who make innocent disclosure mistakes (i.e. careless mistakes) rather than those who deliberately mislead us.
If we do establish that you deliberately or recklessly provided us with untrue or misleading information, we would have the right to treat your policy as if it never existed, decline all claims and retain the premium.
But, if we establish that you carelessly provided us with untrue or misleading information there are a number of things that could happen:
- If we would not have provided you with cover, we would treat your policy as if it never existed, refuse to pay any claim and return the premium you have paid.
- If we would have provided you with cover on different terms we would retrospectively include these in the policy and apply these to any potential claim. If there is no outstanding claim we would have the right to give you 14 days notice that we are cancelling your policy.
- If we would have charged you more we would proportionately reduce the amount paid for a claim. Again, if there is no outstanding claim we would have the right to give you 14 days notice of cancellation.
If any of these situations arise we will let you know what is happening in writing. In the instances of 2 or 3, once we inform you that your policy is now subject to different terms and/or premium, if you wish to, you may cancel your policy.
If this policy is terminated due to 1. or 2. we will refund any premium due to you in respect of the balance of the period of insurance