Warranties in insurance contracts:
A) may be used to avoid liability in all states, whether or not the breach of warranty is material.
B) are of great importance.
C) are becoming increasingly easy to use as a basis for an insurer to avoid liability on a policy when an insured breaches.
D) may be expressly included in the contract, be clearly incorporated by reference, or be implied.

Question

Quizplus · Accepted Answer

Warranties in insurance contracts are of great importance because they are promises made by the insured that certain conditions will be met. If these warranties are breached, it can affect the validity of the insurance contract.

Warranties in Insurance Contracts