Non-disclosure refers to the act of not revealing or withholding information that is relevant. It can occur in various contexts, such as legal agreements, contracts, or situations where there is an obligation or expectation to provide complete and accurate information.

This information may be related to previous claims, prior insurance coverage, or other factors that may affect the risk or premium of the policy.

Non-disclosure of material facts is considered a violation of the duty of utmost good faith, which is a legal requirement in insurance policies. When an insured fails to disclose or provides false information, it can have serious consequences.

If the non-disclosure is discovered by the company after a claim is filed, they may have grounds to deny it or cancel the policy. This is because the insurer relies on accurate and complete information to assess the risk and determine the appropriate premium.

It is important for insured individuals to be honest and transparent during the application process to ensure they receive the coverage they need and to avoid potential problems in the future. Providing accurate and truthful information helps establish a fair and mutually beneficial relationship between the insured and the company.