1282 Test of materiality . Post, p. 1283. Matters which each SEC . 1175 . MATTERS WHICH EACH IS BOUN D TO KNOW .- Ea ch party is bound to know . to a contract of insurance is bound to k now all the general causes which are open to his inquiry, equally with that of the other, and which may affe ct either the poli tical or material perils co ntemplate d ; and all general usages of trade. Waiver of communi- SEC . 1176. WAIvER or CoMMuNICATIoN .The right to information cation. of material facts may be waived, either by the terms of insurance or by neglect to make inquiries as to such facts, where they are dis- tinctly implied in other facts of which information is communicated . Interest of Insured . • SEC . 1177. INTEREST or INSURED .Information of the nature or amount of the inter est of one insured need not be communicated Post, p .1283 .
unless in answer to an inquiry, except as prescribed by section 1194. Fr audule nt war • ranty.
SEC. 1178. FRAUDULENT WARRANTY .-An intentional and fraudu- lent omi ssion, on the pa rt of one insure d, to communica te informa- tion of matters proving or tending to prove the falsity of a warranty, entitles the insurer to rescind . CROss R EFERENCES Effect of concealment, see section 1171 . Wa rran ties, see secti on 12 07 et seq . Ante, p.1281. Pod, p . 1284. Matters of opinion . SEC . 1179. MATTERS or OPINION .-Neither party to a contract of insurance is bound to communicate, even upon inquiry, information of his own judgment upon th e matters in qu estion . made . repr esentatio n SEC . 1180. REPRESENTATION, how M A D E .-A representation may be oral o r written . When made.
SEC.-1181. WHEN MADE .-A representation may be made at the same tim e with is suing the policy, or before it . CROSS REFERENcE Warranties, see sections 1207 and 1208 . S EC. 1182 . How INTERPRETER .- T he language of a represent ation is to be interpreted by the same rules as the language of contracts in general . CROSS ref ere nce Ante, p .1197.
Interpretation of contracts, see sections 546 et seq . futturreresenwtion as to SE C. 1183 . REPRESENTATION AS TO FUTURE.-A representation as to the future is to be deemed a promise, unless it appears that it was merely a statement of belief or expectation . Poe, p . 1284. How interp reted . 72d CONGRESS. SESS. II. CH. 128. F EBRU ARY 27, 1933 . 5. Those which relate to a risk excepted from the policy, and which are not otherwi se material . CROSS REM aMNO ES Facts cove red by wa rrant y, se e sec tion 1178 . Information as to nature of amount of interest, see section 1177 . Matters of opinion, see section 1179 . Waiver of communication, see section 1176 . SEC . 1174. TEST OF MATERIALITY .-Materiality is to be determined not by the event, but solely by the probable and reasonable influence of the facts upon the party to whom the communication is due, in formi ng his estimate of the disadvantages of the pro pos ed cont rac t or in making his inquiries . C ROSS REFERENcE Materiality of representation, see section 1190 .
