Section 35
Section 35
(1)
A policy shall not be called in question by reason only of a mis-statement of the age of the life insured.
(2)
Where the true age as shown by the proof is greater than that on which the policy is based, the insurer may vary the sum insured by, and bonuses (if any) allotted to, the policy so that, as varied, they bear the same proportion to the sum insured by, and bonuses (if any)
allotted to, the policy before variation as the amount of premiums that have become payable under the policy bear to the amount of the premiums that would have become payable if the policy had been based on the true age.
Incorporating amendments until S 1/2016
(Clean copy) NANI/H.AFIF/fiqah _ as of 3rd July 2020
35
BLUV as at 14th January 2016
(3)
Where the true age as shown by the proof is less than that on which the policy was based, the insurer shall either –
(a)
vary the sum insured by and bonuses (if any) allotted to, the policy so that, as varied, they bear the same proportion to the sum insured by, and the bonuses (if any) allotted to, the policy before variation as the amount of the premiums that have become payable under the policy as insured bears to the amount of the premiums that would have become payable if the policy had been based on the true age; or
(b)
reduce, as from the date of issue of the policy, the premium payable to the amount that would have been payable if the policy had been based on the true age and repay the policy owner the amount of over-payments of premium less any amount that has been paid as the cash value of bonuses in excess of the cash value that would have been paid if the policy had been based on the true age.
(4)
No life policy after the expiry of 2 years from the date on which it was effected, be called in question by an insurer on the ground that a statement made in the proposal for insurance or in a report of a doctor, referee, or other person, or in a document leading to the issue of the policy, was inaccurate or false unless the insurer shows that such statement was on a material matter or suppressed a material fact and that it was fraudulently made by the policy owner with the knowledge that the statement was false or that it suppressed a material fact.
(5)
For the purposes of subsection (4) “material matter” or “material fact” means such matter or fact which, if known by the insurer, would have led to a refusal by the insurer to issue a life policy to the insured or would have led the insurer to impose terms less favourable to the insured than those imposed in the policy.
(6)
Nothing in this section shall prevent the insurer from calling for proof of age at any time, and no policy shall be deemed to be called in question merely because the terms of the policy are adjusted in accordance with subsections (2) and (3).
Incorporating amendments until S 1/2016
(Clean copy) NANI/H.AFIF/fiqah _ as of 3rd July 2020
36
BLUV as at 14th January 2016
Objection to life policy.