Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) If reliance by a party to a contract of insurance on a provision of the contract would be to fail to act with the utmost good faith, the party may not rely on the provision.
(2) Subsection (1) does not limit the operation of section 13.
(3) In deciding whether reliance by an insurer on a provision of
the contract of insurance would be to fail to act with the utmost good faith,
the court shall have regard to any notification of the provision that was
given to the insured, whether a notification of a kind mentioned in section
37 or otherwise.