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26. The Present case however, presents no difficulty. If the assured had truly disclosed his illness that fact would have certainly influenced "the judgment of a prudent insurer in fixing the Premium or determining whether he will take the risk."

27. If the insured makes a statement containing certain information and the policy contains a term to the effect that the proposal form constitutes the "basis of the contract" the insurers are entitled to avoid liability if any answer in the proposal form is incorrect, whether it is material or not. The insurers are entitled to avoid liability if any answer in the proposal form is incorrect irrespective of whether the insured made the answers fraudulently or innocently and irrespective of whether the answer relates to a material fact. This is the law in England. Thus, in Dawsons Ltd. v. Bonnin, (1922) Ac 413. the proposal form for the insurance of a lorry against fire required the proposer to state the full address at which the lorry would be garaged, and inadvertently the wrong address was inserted. A claim was made under the policy when the lorry was lost by fire, The House of Lords held that as the proposal form was clearly expressed by the terms of the policy to be "the basis of contract" the answer in the proposal form amounted to a contractual promise as to its accuracy. Since the answer was not accurate the insurers had a right to avoid the policy for breach of warranty. It made no difference that the answer was not material, i.e., the premium would have been no different had the correct address been shown, nor that the inaccuracy was inadvertent.