Carla wishes to arrange insurance policies in her own name covering the following:
A mobile phone, which Carla found in the street, the owner of which has yet to be traced.
The life of Carla’s part time childminder.
A rare book collection belonging to Carla’s eldest son which is kept in his own house nearby to Carla’s house.
The life of William, a friend, who owes Carla £2,000.
When Carla applies to an insurer for the insurance policies, she deliberately conceals a previous conviction, for which she received a two-year custodial sentence, three years ago.
In addition, Carla mistakenly advises the insurer that the childminder is employed on a full – time basis.
(a) Explain, with justification, whether an insurance policy is likely to be valid in Carla’s name for each of the following:
i. The mobile
ii. The life of Carla’s childminder
iii. The rare book collection
iv. The life of William
(b) Explain the effect of the concealed conviction on the validity of each of the proposed insurance policies. Refer to one statute in support of your explanation.
(c) Explain briefly, the effect of the mistake regarding the employment status of the childminder on the proposed life policy for the childminder.