Swaby, Gerald (2013) The Price of a Lie. Journal of Business Law (1). pp. 77-102. ISSN 0021-9460
Abstract

According to the Association of British Insurers, fraud costs the industry an estimated £2 billion every year and equates to an average of £44 on every UK policy.2 As part of the review on insurance contract law, the joint English and Scottish Law Commissions published Paper 7, The Insured’s Post-Contractual Duties of Good Faith. They examined, inter alia, the area of exaggerated claims and concluded that there was confusion and uncertainty as to whether the insured forfeited only the claim that was fraudulent, or whether he forfeited the whole policy, having to repay the insurer for any previously made honest claims.

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