An insurer should refer to the guidance in SYSC 3.2 (Areas covered by systems and controls) in its procedures for claims handling. For example, an insurer should have in place systems and controls which take account of reasonably foreseeable peaks in demand, to allow it to deal with claims promptly in such circumstances.
An insurer must not:
of non-disclosure of a fact material to the risk that the retail customer could not reasonably be expected to have disclosed;
of misrepresentation of a fact material to the risk, unless the misrepresentation is negligent;
under a life of another contract, the warranty relates to a statement of fact concerning the life to be assured and that statement would have constituted grounds for rejection of a claim by the insurer under ICOB 7.3.6 R(2)(a) or (b) if it had been made by the life to be assured under an own life contract; or
the warranty is material to the risk and was drawn to the attention of the retail customer before the conclusion of the contract.