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INSURANCE – Medicare Supplement Policy; Rescission; Mistake (access required)

Posted: 1:00 am Mon, March 15, 2010
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Where an insurer agreed in a settlement with a hospital to pay the medical bills of its insured but then rescinded the policy based on a finding of a misrepresentation of the insured’s medical history, the District Court did not err in awarding the full settlement amount to the hospital because the insurer bore the risk of a mistake. Judgment is affirmed.

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