Contact Form Contact Form

Disclosure Obligations and Motor Vehicle Insurance Policies

Disclosure Obligations and Motor Vehicle Insurance Policies


Disclosure Obligations and Motor Vehicle Insurance Policies


Automobile insurance policies may have a clause that requires an insured to disclosure information to his or her insurance company that would allow the insurance company to determine if there is a valid defense to a claim against the insured. This disclosure obligation, which could be part of an insurance policy’s cooperation and assistance provision, requires the insured to make a truthful disclosure of all information reasonably requested by the insurance company.


It is an insured’s contractual obligation to make an honest and complete disclosure of facts, which also includes the circumstances surrounding a claim. An insured’s disclosure of facts allows an insurance company to investigate the claim and to decide whether to settle it or to defend against it. A non-disclosure of facts would be a violation of the insured’s duty to cooperate if the non-cooperation harms the insurance company’s determination of if a good defense to a claim exists.


Besides making a truthful disclosure of facts, the insured’s disclosure has to be full and candid. The facts to be disclosed are material facts, that is, facts that would make a difference in the outcome of a court case. If the insured leaves out facts or lies about them, the insurance company is put into a bad position regarding the claim. It cannot make a proper investigation of the claim. Once the deception is discovered, the insured’s breach of his or her disclosure obligation could result in nonpayment of the claim.


An applicant for insurance also has an obligation to disclose certain matters to an insurance company. For instance, if an applicant for automobile liability insurance has an automobile accident after applying for the policy and before the policy was delivered, the applicant owes a duty to the insurance company to disclose that accident.

Copyright 2012 LexisNexis, a division of Reed Elsevier Inc.

Recent Blog Posts

Common Causes of Motorcycle Accidents

According to statistics, incidents of motorcycle accidents have been on the rise since 2006. Cycling accidents may cause serious injury or death and are often the result of one of the following circumstances: Car operator turns in front of the bike If the operator of a motorized vehicle fails to accurately judge a cyclist’s speed […]

Cell Phone Manufacturers Walk a Fine Line between Social and Personal Responsibility – Car accident lawyers

 Cell Phone Manufacturers Walk a Fine Line between Social and Personal Responsibility – Car Accident Lawyers Ward & Ward Law Firm Pressure is being put on cell phone manufacturers to include “lock-out” technology in their mobile devices to prevent drivers from accessing certain features while driving. Who bears the responsibility for car accident injuries and […]

Indiana Personal Injury Attorney Selected for Inclusion in Best Lawyers in America©

Ward & Ward Law Firm Announces Partner in Personal Injury Law Firm is Selected for Inclusion in Best Lawyers in America Indianapolis personal injury attorney, wrongful death attorney and medical malpractice attorney, Charlie Ward, has been selected by his peers for inclusion into the 23rd annual edition of The Best Lawyers in America© Indianapolis, Indiana […]

Indiana Legislation Relating to Asbestos and Mesothelioma Claims Declared Unconstitutional

Victims of latent asbestos related diseases have reason for hope after Indiana’s State Supreme Court Ruling What is a product liability claim? A product liability claim seeks to hold miners, manufacturers, distributors, suppliers, retailers, and others along the commerce and distribution chain, responsible for the personal injury and wrongful death caused by dangerous and defective products, […]

Ward & Ward Law Firm Personal Injury Attorneys Receive Award from

Ward & Ward Law Firm Personal Injury Lawyers Receive Prestigious Award from Best Personal Injury Lawyers in Indianapolis2016 The attorneys at Ward & Ward Law Firm have been recognized by as 2016Best Personal Injury Lawyers in Indianapolis. connects people in every U.S. city with qualified experts from their own communities. The Seattle based […]