Cole, Pauline v Insurance Company of the West Indies

Admissibility of statement of unavailable witness – Proof of conditions precedent
to reception in evidence – Procedure to determine admissibility at trial –
Statement must be relevant and its prejudicial effect should not outweigh its
probative value – Contract of insurance is a contract uberrima fides – Assured
has obligation to be truthful and make full disclosure of material facts – Insurer
seeking to avoid contract has a duty to establish that material facts were
misrepresented/undisclosed and that it was induced by the misrepresentation/
non-disclosure to accept risk on the terms it did – Insurer may in appropriate
circumstances rely on presumption of inducement where there is no direct
evidence – Applicable principles of interpretation of insurance contract – Breach
of Warranty – Breach of Terms of Coverage of Policy – Circumstances in which
insurer may avoid contract – Effect of failure of insured to refer dispute to
arbitration within the time limit specified in the contract.