ABSTRACT
Consumer insurance contract, or of any other contract, which would put the consumer in a worse position as respects any of the matters provided for in section 13A than the consumer would be in by virtue of the provisions of that section. The Act permits parties to non-consumer insurance to contract out of the vast majority of the Act, subject to the fulfilment of two transparency requirements. This reflects the Law Commissions' acknowledgement that commercial parties must be able to agree to alternative arrangements in their contracts, and their broad support for freedom of contract. The Law Commissions have recognised that in certain cases such as large or unusual risks, contracting out may be appropriate. However, the Act restricts contracting out in consumer insurance, which is not possible at all, and to a lesser extent in non-consumer insurance. Parties to a non-consumer insurance contract may contract out of any part of the Act, with two exceptions.
