World Surveillance Group Inc (fka WSGI)

[Jetmek_03052]

Frank, I am not afraid to say I agree with your statement.

BUT, I think it is well known that while most insurance companies insure in good faith, they also will NOT pay if there is good reason for them not too.

The verbage does say "reserves the right to rescind the policy".

I know that if I was the insurance company, and a customer expressly lied during the renewal process.....

I wouldn't pay any claims for them.

I don't think you would either.

For instance.....I go take out a medical insurance policy. In the questionarie, they ask specifically if I have had any history of cancer. I answer in the negative.

Six months later, I make a claim for cancer treatment. They investigate and find out that weeks before I took out this policy, I was diagnosed with cancer.

Do you think they would pay my claim?

This is in essence what GTEM did. During the renewal process, they were specifically asked about any investigations. They answered that there weren't any....even though there had been three known meetings in regards to the ongoing SEC investigation... just weeks before the renewal process was completed. Yes, this is specifically why they will not cover the SEC investigations costs.....but they have the right to rescind the entire policy if ANY further coverage is sought. That is EXACTLY WHAT THE DOCUMENT SAYS.

Frank, I am saying you cuould be correct...that Carolina MIGHT NOT rescind the policy. You on the other hand should admit they the verbage leaves the door open for them to pay NOTHING more and RESCIND the entire thing.

My opinion is....that is exactly what will happen. I'm sure yours will be he oppiste. That is why these boards are so much FUN!