In the case of NEW INDIA ASSURANCE CO. LTD v. PANG PIANG CHONG & ANOR. [1971], the assurance company NI (New India) refuses to pay MR. PPC (Pang Piang Chong) for a non-disclosure of material facts. According to NI, PPC has lied to them by answering 'No' to the question 'Have you or any person who to your knowledge will drive, been convicted during the past five years of any offence in connection with the driving of any motor vehicle?'
Though he was convicted with with offences such as driving without a license and not displaying the "L" plate.
But according to the court, NI has to pay PPC according to the insurance contract agreement. This is because that PPC's answer to the question did not constitute a non-disclosure of a material fact or representation of a fact which was false in some material particular. Basically the court ruled that the offence that PPC did not admit to is not something that shows PPC was a reckless driver.
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