- Material fact
A material fact is a fact that would be to a reasonable person germane to the decision to be made as distinguished from an insignificant, trivial or unimportant detail. In other words, it is a fact which expression (concealment) would reasonably result in a different decision.
Falsification of a material fact in such a manner that, had the insurance company known the truth, it would not have insured the risk. Misrepresentation of a material fact gives an insurance company grounds to rescind a contract.
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