Breach of the obligation to declare risk in Algerian insurance law

Abstract

Risk is considered the essential element in the insurance contract, and it plays a role in determining the insurer’s position regarding insurance, whether acceptance or refusal. The nature and severity of the risk also have a direct impact on determining the amount of the premium that the insured is obliged to pay. Therefore, the Algerian legislator has required the insured, at the time of concluding the contract, to declare all data and circumstances, and has also obliged them to declare any change or aggravation of the risk. The legislator has established specific and exceptional sanctions for violating these obligations, which differ depending on whether the insured acts in good faith or bad faith.