Discuss the legal authority of the insurer to repudiate its liabilities.

To protect the claimants and policyholders against any excessively harsh application of the duty of disclosure on the part of the proposer, by the insurer, Section 45 of the Insurance Act, 1938, also called Indisputability or Incontestability Clause, has given the authority to the insurer to safeguard his interest in the following cases: The policyholder suppressed certain facts and those facts were material for the underwriting decision-making by the insurer, if any death claim arises within 3 years from the date of commencement of risk. But if any death claim occurs after 3 years from the date of commencement of the risk, an insurer may repudiate its liability to honour the claim under the following criteria: The policyholder suppressed certain facts and those facts were material for the underwriter's decision-making by the insurer and also those facts were intentionally suppressed by the insured. In legal terms, if one party commits breach of contract by not maintaining the declaration (in the proposal form) of having replied truly and correctly, the other party i.e. the insurer is not liable to honor the claim.