Buultjens V. Ceylon Insurance Co., Ltd

1960 Present: Sansoni, J., and Sinnetamby, J.

E C. V. BUULTJENS, Appellant, and CEYLON INSURANCE CO.,
LTD., Respondent

S. C. 146-D. C. Colombo, 43449/M

    Insurance -Motor car-Third party risks-Proposal Form-Ambiguity in questions appearing therein-Truth of answers-Relevancy of offences in breach of Motor-Traffic Act- Suppression of material facts-Burden of proof.

Where an ambiguity exists in a question put in the proposal Form of a contract of insurance, the contract must stand if an answer has been made to the question on a fair and reasonable construction of that question. Otherwise the ambiguity would be a trap against which the insured would be protected by Courts of Law.

In a motor car insurance policy in respect of third party risks, the answers to the questions in the proposal Form were made the basis of the contract and were warranted to be true. The applicant for insurance, who had been fined Rs. 5 twenty years earlier for driving a, car without a certificate 9f competence, answered in the negative question No.5 which was as follows :-" Have you or any other person, who to your knowledge will drive, ever bee

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