Article 812 - Termination of a contract after the occurrence of insured events

Article 812 of Law No. 786 of 26th June 1997 (Civil Code of Georgia) belongs to Chapter XX, dedicated to Insurance, Section First, General Provisions. The Article provides rules for the termination of the contract after the insured event has occurred. In particular, the provision specifies that the insurer who terminates the contract, after verification of the event, is not exempt from its obligation (to compensation) where there has been a failure by the policyholder to comply with the disclosure obligations, provided that the circumstances not disclosed had no influence on the occurrence of the event. The obligations of communication to which the policyholder is bound, and which have been breached as specified in art. 812, are governed by Articles 808 et seq., of the Georgian Code. These rules lay down specific obligations to make the policyholder aware of the situation in which the policyholder is (insured) and to allow the conclusion of the contract and the quantification of an appropriate premium. These rules should also be analysed together with the provision of art. 813 in the matter of increased risk.