Information asymmetry and the myth of good faith: back to basis

A substantial body of law has accumulated on the provision of information, true and false, in the negotiation, conclusion and performance of insurance contracts. This is closely associated with the idea that insurance contracts are peculiarly subject to overriding notions of good faith. It is argued here: that the roles for good faith in insurance law are in fact more modest than is generally assumed; that many of the particular issues concerning the provision of, or failure to provide, information in an insurance context are better explained by more general principles of law; and that English law is not (as is generally assumed) generally hostile to good faith requirements but encourages good behaviour and discourages bad behaviour as is appropriate, and insurance law illustrates this general position.