Riding the Wave: Why Good Faith Keeps You Afloat

Riding the Wave:

Why Good Faith Keeps You Afloat

Imagine your insurance relationship as a surf trip: The ocean is unpredictable, the waves come out of nowhere, and your best shot at staying upright is knowing the rules and trusting your board. The one rule that keeps this whole ride from turning into a wipeout. Utmost good faith.

This principle is the invisible leash that connects both surfer and board—or, in our case, insured and insurer. It’s the glue that holds the ride together from the very first quote to the final payout.

Before the Big Wave:

The Underwriting Stage

You’re getting ready to paddle out—shopping for a policy, answering questions, choosing your coverage. This is when disclosure matters most. Insurers must know exactly what kind of ride they’re signing up for. Is your car used for errands, business, or beachside hot dog stand deliveries? It changes the coverage and the risk.

If you fudge the details (even unintentionally), it’s like waxing your board with butter: your coverage won’t hold up when it matters.

Why it matters: Your insurer isn’t psychic. They rely on what you tell them to assess the risk and set your premium. Skim over the truth, and you could find yourself wiped out—claim denied, policy voided.

After the Crash:

The Claims Process

Now let’s say the unexpected hits—a fender bender, a burst pipe, or a classic “what even is that?” moment. This is when the real test of good faith begins.

The insured (that’s you) must:

• Provide documents and evidence promptly.

• Cooperate fully—no duck-diving the insurer’s questions.

• Avoid doing anything that might stall or confuse the investigation.

But it’s not a one-sided swell. Insurers don’t get to act like rogue waves, dragging you under with delay tactics or nitpicky nonsense. If they start pulling stunts—deliberately slowing the process or demanding the impossible—the law sees that as bad faith.

And just like surfing against the current, bad faith behaviour drags the whole process down.

 Legal Lifeguards to the Rescue

When insurers act unreasonably, the law throws out a lifeline. If delays cause more damage—like financial loss or stress—the insured might be entitled to extra compensation. Courts don’t like insurers who ghost their policyholders or play games with legitimate claims.

Trust Is Your Surfboard

Insurance is built on trust. You trust your insurer to catch you when the waves get rough. They trust you to be transparent about what you’re bringing into the water. If either party slips up, the entire ride becomes unstable.

So, whether you’re catching your first insurance policy or navigating a gnarly claim, remember: utmost good faith is the board that keeps you afloat. Ride it with honesty, and you’ll go far.