Section 781 Of Article 6. Misrepresentation Of Policies From California Insurance Code >> Division 1. >> Part 2. >> Chapter 1. >> Article 6.
781
. (a) A person shall not make any statement that is known, or
should have been known, to be a misrepresentation (1) to any other
person for the purpose of inducing, or tending to induce, such other
person either to take out a policy of insurance, or to refuse to
accept a policy issued upon an application therefor and instead take
out any policy in another insurer, or (2) to a policyholder in any
insurer for the purpose of inducing or tending to induce him or her
to lapse, forfeit or surrender his or her insurance therein.
(b) A person shall not make any representation or comparison of
insurers or policies to an insured which is misleading, for the
purpose of inducing or tending to induce him or her to lapse,
forfeit, change or surrender his or her insurance, whether on a
temporary or permanent plan.