s 5 Qualifying misrepresentations: classification and presumptions
(1) For the purposes of this Act, a qualifying misrepresentation (see section 4(2)) is either— (a) deliberate or reckless, or (b) careless. (2) A qualifying misrepresentation is deliberate or reckless if the consumer— (a) knew that it was untrue or misleading, or did not care whether or not it was untrue or misleading, and (b) knew that the matter to which the misrepresentation related was relevant to the insurer, or did not care whether or not it was relevant to the insurer. (3) A qualifying misrepresentation is careless if it is not deliberate or reckless. (4) It is for the insurer to show that a qualifying misrepresentation was deliberate or reckless. (5) But it is to be presumed, unless the contrary is shown— (a) that the consumer had the knowledge of a reasonable consumer, and (b) that the consumer knew that a matter about which the insurer asked a clear and specific question was relevant to the insurer.