Life · Chapter 7 · The Application
Application Statements = Representations
Definition
An applicant's answers are representations — true to the best of their knowledge — NOT warranties (guaranteed true in every detail). A material misrepresentation (one that would have changed the underwriting decision) can void the policy; the insurer bears the burden of proving materiality. Premium is refunded if the insurer cancels/declines.
Exam tip
⚠️ Florida trap: the contestable period is 2 years and F.S. 627.455 lists only three exceptions — nonpayment of premium, and (at the insurer's option) disability and accidental-death provisions. Fraud is NOT an exception in Florida. Other states allow a fraud contest forever; don't import that answer.
Related terms