Manmohan Nanda
United India Assurance Co. Ltd. and Ors.
I(2022)CPJ20(SC)
Policy type- Overseas Mediclaim Policy-B
The Supreme Court while allowing an insurance claim of the insured under a mediclaim policy summarized the rules to be observed in making a proposal for insurance, namely, (a) a fair and reasonable construction must be put upon the language of the question which is asked, and the answer given will be similarly construed; (b) carelessness is no excuse, unless the error is so obvious that no one could be regarded as misled; (c) an answer which is literally accurate, so far as it extends, will not suffice if it is misleading by reason of what is not stated; (d) where the space for an answer is left blank, leaving the question un-answered, the reasonable inference may be that there is nothing to enter as an answer; (e) where an answer is unsatisfactory, as being on the face of it incomplete or inconsistent the insurers may, as reasonable men, be regarded as put on inquiry, so that if they issue a policy without any further enquiry they are assumed to have waived any further information; (f) a proposer may find it convenient to bracket together two or more questions and give a composite answer; (g) any answer given, however accurate and honest at the time it was written down, must be corrected if, up to the time of acceptance of the proposal, any event or circumstance supervenes to make it inaccurate or misleading.
