Insurance Contract Disputes and the Doctrine of Utmost Good Faith in the Nigerian Context

The doctrine of utmost good faith (uberrimae fidei) occupies a central position in insurance contract law, obligating both insurers and insured parties to make full disclosure of all material facts. This study examines judicial application of the utmost good faith doctrine in insurance contract disputes in Nigeria, analysing decisions of the Lagos Division of the Court of Appeal and the Federal High Court between 2019 and 2024. Using a doctrinal methodology, the research evaluates how Nigerian courts have interpreted materiality, the duty of disclosure, and the consequences of non-disclosure, comparing the Nigerian approach with English insurance law reforms introduced by the Insurance Act 2015. The study further surveys 100 policyholders in Lagos and Ogun State to assess the level of consumer understanding of disclosure obligations in insurance contracts. Findings reveal significant information asymmetry, with insurers routinely exploiting non-disclosure doctrines to avoid liability even in cases where the undisclosed information had no bearing on the risk. The research argues that the Nigerian Insurance Act requires urgent modernisation to shift the burden of asking for material information from the insured to the insurer. Recommendations include statutory reform, mandatory pre-contractual information sheets, and the establishment of an insurance ombudsman. Keywords: insurance contracts, utmost good faith, disclosure, Nigerian Insurance Act, uberrimae fidei