Page 5 - Life Assurance

n fact, then turns out that the opinion was
wrong. It is necessary for the insurer to
demonstrate bad faith or fraudulent intent on the
part of the insured, in order to avoid the
contract. For example, let us say that an applicant
is asked, "Have you ever had cancer?" and the
applicant says "No". Later it develops that the
applicant actually had cancer. The court might well
find that the insured was not told the true state of his
health and thought that he had some other aliment.
If the question had been phrased "Have you ever
been told you had cancer?" a "Yes", or "No" answer
would be clearly one of fact, not opinion. An honest
opinion should not be grounds for revision.

69 Life41/life/life 08