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State
California
IC Sec 1900-1905 Concealment and Representations--Rules Peculiar to Marine Insurance (THE MARINE CONTRACT)

INSURANCE CODE
SECTION 1900-1905





1900. In marine insurance each party is bound to communicate, in
addition to what is required in the case of other insurance:
(a) All the information which he possesses and which is material
to the risk, except such as is exempt from such communication in the
case of other insurance.
(b) The exact and whole truth in relation to all matters that he
represents or, upon inquiry assumes to disclose.




1901. In marine insurance, information of the belief or expectation
of a third person in reference to a material fact, is material.



1902. A person insured by a contract of marine insurance is
presumed to have, at the time of insuring, knowledge of a prior loss,
if the information might possibly have reached him in the usual mode
of transmission and at the usual rate of communication.




1903. In a marine insurance, concealment in respect to any of the
following matters does not vitiate the entire contract, but merely
exonerates the insurer from a loss resulting from the risk concealed:

(a) The national character of the insured.
(b) The liability of the subject matter to capture and detention.

(c) The liability to seizure from breach of foreign laws of trade.

(d) The want of necessary documents.
(e) The use of false and simulated papers.




1904. In marine insurance, if a representation by the insured is
intentionally false in any respect, whether material or immaterial,
the insurer may rescind the entire contract.



1905. The failure of subsequent circumstances to conform to a
representation as to expectation does not, in the absence of fraud,
avoid marine insurance.