Disability Insurer’s Decision to Void Policy for Material Misrepresentation Upheld On Appeal
Disability insurer’s decision to void a policy on the basis of material misrepresentations with respect to the insured’s health on his application for insurance was upheld on appeal.
Walsh v. Unum Provident,  N.S.J. No. 582, November 8, 2013, Nova Scotia Court of Appeal, M. MacDonald C.J.N.S., J.W.S. Saunders and J.E. Fichaud JJ.A.
Appeal by an insured under a disability policy from a decision that dismissed his action for damages under the policy and allowed the insurer’s counterclaim for a declaration that the policy was void on the basis of fraudulent misrepresentations made by the insured in the application for insurance. These misrepresentations related to undisclosed health problems that pre-dated the application for coverage including heart problems, headaches, seizures, anxiety and back problems.
The Court of Appeal dismissed the appeal and adopted the trial judge’s reasoning on the fraudulent material misrepresetation issue which contained a correct articulation of the law based on unassailable factual findings.
This case was digested by Cameron B. Elder and edited by David W. Pilley of Harper Grey LLP.
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