Insurance Policy Misrepresentation What You NEED to Know!
7 Oct 2026 · 1 min
0:41
In this segment, Hunter Nelson explains material misrepresentation in insurance policies, focusing on how inaccurately describing business activities—such as an electrician performing junk removal or a plumber doing roofing—can lead to the use of incorrect class codes. He clarifies that class codes categorize risk and affect claim frequency, and that misdeclaring activities can void the policy, leaving the insured without coverage. The discussion outlines why misrepresentation occurs (often unintentionally), the role of class codes in most policies, and the importance of accurately disclosing all lines of work to maintain valid coverage.
