Null And Void

What Does Null And Void Mean?

Null and void is a phrase that means something is no longer legally valid or admissible. In terms of insurance, it can refer to a policy that will no longer merit coverage from the insurance company probably because of a technicality or a provision in the insurance contract is violated.

Insuranceopedia Explains Null And Void

Once a contract is considered null and void, it loses its effectiveness. When a court declares that a marriage is null and void, it means that the marriage never took place because the relationship lacks something essential in the beginning for it to be called a marriage.

In insurance contracts, it is the same. A policy becomes null and void because a party contradicts something essential in the contract. Applying for insurance implicitly requires honesty. One divulges the proper information to the insurer even if such information might cause the latter to refuse insurance or, in most cases, to make payments more expensive. A person might want to reveal the insurer that he or she has a smoking habit. If he or she does not tell the insurer this fact, then in the event of a claim and after investigation, the insurer might consider his or her policy null and void.

Failure to pay the premiums, of course, also nullifies the contract.