Practice question
An insurer obtaining nonautomatic reinsurance forwards its own summary but knowingly omits material original-insured representations and later-acquired material information. It argues that reinsurance eliminates disclosure duties. Which analysis is sound?
- No information is ever required once the original policy exists.
- Section 98 requires the stated original representations and material knowledge, including subsequently acquired information, in the stipulated nonautomatic setting.
- Only the reinsurer's shareholders can receive any information.
- All summaries necessarily satisfy every duty.
- Reinsurance is outside the Insurance Code.
Legal references
- Insurance Code as amended by RA10607, Sections26–48 and95–100: https://lawphil.net/statutes/repacts/ra2013/ra_10607_2013.html
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