Modification and rescission of insurance contracts

This chapter examines circumstances under which an insurance contract may be modified or rescinded. Relevant provisions of the Insurance Law, the SPC Interpretations, judicial practice, disputes, and scholar&s;s opinions relating to modification and rescission of an insurance contract are considered. This chapter covers the following points: modification of a contract; rescission of a contract upon agreement between parties; rescission of a contract unilaterally by the proposer by the operation of law; circumstances under which the insurer is entitled to rescind an insurance contract by law; situations in which the contract cannot be rescinded; return of premiums where the contract is rescinded; and consequences for rescission of an insurance contract.