The principle which requires the insurance company to disclose to the proposer all material facts of the risk to be covered is?

A. subrogation
B. proximate cause
C. uberrimae fidei
D. contribution

Correct Answer:

Option C – uberrimae fidei

Explanation

Uberrimae fidei is a Latin phrase meaning “utmost good faith; The principle means that every person who enters into a contract of insurance has a legal obligation to act with utmost good faith towards the company offering the insurance