In a recent ruling issued in 2025, the Constitutional Court (hereinafter, the “Court”) ruled on key aspects of life insurance and reiterated certain principles relevant to the insurance sector. Specifically, the Court addressed the scope of insurers’ duty of due diligence during the pre-contractual stage of life insurance, as well as the validity of, and certain requirements applicable to, exclusion clauses related to pre-existing medical conditions.
Below, we highlight some of the most relevant considerations:
- Heightened duty of due diligence for insurers
The Court reiterated that insurers must act with a heightened standard of diligence when assessing the health status of life insurance policyholders, particularly when there are indications that may affect the insurable risk. A mere declaration by the policyholder or a superficial medical examination is not sufficient. If there are signs of being overweight, hypertension, or similar conditions, the insurer must carry out further verifications, such as reviewing the applicant’s medical history or requesting specialized medical examinations.
- Contractual exclusions under scrutiny
The Court emphasized that exclusion clauses in insurance contracts must be clear, precise, and unambiguous. Generic exclusions are deemed unenforceable, particularly when they affect fundamental rights or place the insured at a contractual disadvantage compared to the insurer.
- Requirements for relative nullity based on misrepresentation
The Court reiterated the three (3) requirements for misrepresentation of material facts to give rise to the relative nullity of the insurance contract, in accordance with the first paragraph of Article 1058 of the Colombian Commercial Code, as well as constitutional and ordinary case law:
(i) the subjective element (bad faith on the part of the policyholder);
(ii) the materiality or relevance of the pre-existing condition; and
(iii) the causal link between the pre-existing condition and the insured event.
- Burden of proof and transparency
The Court reiterated that it is the insurer’s responsibility to prove that it acted with due diligence and that the exclusions were clearly disclosed to and accepted by the policyholder.
For more information contact our insurance and reinsurance team.