What principle of insurance has an insurer breached by failing to disclose an additional exclusion after providing a list of exclusions?

The principle of "utmost good faith," also known as "uberrima fides," is a cornerstone of insurance contracts, necessitating that both parties disclose all relevant information honestly and fully. By failing to disclose an additional exclusion after providing a list of exclusions, the insurer is not adhering to this principle.

In insurance, this means that the insurer must be transparent about the terms of the policy, including any limitations or exclusions that could affect the insured's understanding of their coverage. If the insurer omits crucial information, it undermines the trust that is essential in the contractual relationship. This breach can lead to disputes if a claim arises that falls under the undisclosed exclusion, as the insured, believing they have coverage, may be left without protection.

The other concepts, while important in insurance, do not address the specifics of disclosure and transparency between the insurer and the insured in the same way. "Caveat emptor" refers to buyer beware, which is less applicable in the context of insurance contracts that require full disclosure. "Proximate cause" deals with the causal relationship necessary for a claim to be valid, and "subrogation" relates to the insurer's right to pursue recovery after paying a claim. Thus, these principles