Fraud Copy

Lesson Progress:

When good faith is compromised, it is considered fraud. Some examples include:

  • Concealment — Withholding or hiding material (important) information;
  • Intentional misrepresentation — Purposely lying or misstating the facts when making a representation; and
  • Breach of warranty — Intentionally lying or misstating the facts when making a warranty.

If an insurer is able to prove that an insured committed fraud, it may be able to deny the payment of a claim for a loss.