Jargon Buster - Definition of Utmost Good Faith

Please select your letter of choice below to see the list of terms:

Utmost Good Faith

is the assumption by an insurance company that an applicant will disclose all material facts requested on their application. For protection policies with higher risk, insurers will usually contact doctors or request medical examinations rather that relying on utmost good faith alone.

With many policies such as life insurance and critical illness cover, the insured only has a duty to disclose material facts up until the policy has started. In other words, you could have been a non-smoker all of your life but start smoking after your policy is set up and for the majority of policies, this wouldn't invalidate a claim.

If a person is proven to have been untruthful on their application, it can lead to a non disclosure claim whereby the policy will not pay out.

Please note that all definitions are intended for general guidance only. For official and current definitions you should always double check your policy wording.

If you are in doubt of the meaning of any terms, why not email us on