Practice question
An applicant speaks about a future event, and the wording clearly shows it is merely a belief or expectation. Under section 39, must it automatically be treated as a promise?
- Yes; every future statement is an unconditional warranty.
- No; the section's promise rule has an exception where the statement is merely belief or expectation.
- Yes; context is irrelevant.
- No; because future statements can never matter to insurance.
- Yes; any prediction guarantees that no loss will occur.
Legal references
- Insurance Code, as amended by RA 10607, sections 31 and 36–48, https://lawphil.net/statutes/repacts/ra2013/ra_10607_2013.html
Answer this question in flashcards to review your response and continue practicing.