Before a consumer insurance contract is entered into (and on renewal, extension, variation or reinstatement), the insured takes reasonable care not to make a misrepresentation to the insurer. Reasonable care is judged on all the circumstances, including the product and its target market, the insurer's explanatory material, how clear and specific the insurer's questions were, how clearly the insurer explained the importance of answering and the consequences, whether an agent acted for the insured, whether it was new business or a renewal, and any characteristics of the insured the insurer knew or ought to have known. Failing to answer, or an obviously incomplete or irrelevant answer, is not a misrepresentation; a fraudulent misrepresentation always breaches the duty. From 8 October 2026, for life contracts, not disclosing protected genetic information about a life insured is not a misrepresentation (s 20B(5A)). The duty replaced the duty of disclosure for consumer contracts and applies to the insured, while the factors put the onus on the insurer to ask clear questions.
The graph holds this control, the 0 it maps to, and the evidence behind each claim, over MCP and REST.