MEDICAL,USA: Act of voiding an insurance contract because of misrepresentation on the insurance application.
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An equitable remedy which declares the contract void from its inception, thus, restoring the parties to the position they would have held in the absence of such a contract.
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US: Termination of an insurance contract by the insurer on the grounds of material misstatement on the application for insurance. The action of rescission must take place within the contestable period or Time Limit on Certain Defenses but takes effect as of the date of issue of the policy, thus voiding the contract from its inception.