Law Commission to consider non-disclosure deadlines

In its latest issues paper, the Commission suggests insurers should only be allowed to turn down a claim on the grounds of non-fraudulent non-disclosure if they prove the non-disclosure within three years of the policy being taken out. The proposal was first raised by the Association of British Insurers’ (ABI) protection committee, which claimed introducing a non-contestability period could help re-build trust between consumers and insurers. A similar system operates in the US, where insurers can only turn down a claim on grounds of non-disclosure if they prove it within the first two...