- Project plans
- Project activities
- Legislation and standards
- Industry context
Last edited 29 Jun 2017
Misrepresentation and insurance
When taking out an insurance policy, it might seem tempting to minimise the risk insured against with a view to reducing the premium. However, a recent High Court case concerning a catastrophic property fire showed why absolute frankness is required.
When applying for the insurance, the owners had described the property as in good repair. However, the Court noted evidence that, among other things, many of its windows were broken or falling out and that its roof leaked.
In refusing to order the insurers to indemnify the owners for their loss, the Court noted that the latter had made no real effort to fairly represent the risk. Had they done so, the insurers would probably have declined cover.
In the circumstances, the insurers were entitled to avoid the policy and tender the return of the premium.
 Find out more
 Related articles on Designing Buildings Wiki
- Caveat emptor in property sales.
- Directors and officers insurance.
- Employer's liability insurance.
- Excepted risk.
- Failure to mention asbestos.
- Failure to notify tenant.
- Legal indemnity insurance.
- Material non-disclosure.
- Non-negligent liability insurance.
- Property disrepair and landlord liabilities.
- Specified perils.
Featured articles and news
Under the Party Wall Act a property owner has the legal right to do works that might otherwise constitute trespass or nuisance.
BSRIA examine the 'unpredictable' 2018 global air conditioning market.
ICE publish new report calling for new sector-wide body to help avert structural failures.
The rainbow JCB will be making a welcome return to the London Build Expo on 23 and 24 October at Olympia.
An introductory article to external works - all activities carried out to the external environment of a building project.
With the clock ticking, RIBA say that a 'no deal Brexit' will be "disastrous" for the architecture profession.
The focus is generally on the lime binder, but the aggregate is actually the most significant element.
The importance of communication, collaboration and simplicity when planning construction projects.
New working group is set up to consider options for raising standards across the property agent sector.
BSRIA provide a top 10 list of recent legislation and guidance affecting buildings.