Fraudulent insurance claims should allow the immediate cancellation of a policy, according to industrywide representations.
Insurers should be able to recover damages relating to the investigation of the fraudulent claim, the Law Commission has also reported. The views were made public by the Commission in response to its consultation paper regarding fraudulent claims which is part of its ongoing review of insurance law. Overall only three of the 25 consultees thought the law surrounding the insurer's remedy for a fraudulent claim was unnecessarily complex, while all but two thought it would be helpful to introduce legislation to clarify the subject. The Commission had proposed that a fraudulent claim s...
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