The violation of a material warranty or other material provision of a policy can have different consequences depending on the specific policy and the severity of the violation. Generally speaking, if an insured party violates a material warranty or other material provision of a policy, the insurer may have the right to deny coverage or to cancel the policy altogether.
For example, if a homeowner's insurance policy includes a material warranty that the home has a functioning smoke detector system, but the insured party intentionally disables the smoke detectors, this could be considered a violation of the material warranty. If a fire were to occur in the home and cause significant damage, the insurer may be able to deny coverage or cancel the policy due to the violation of the material warranty.
Similarly, if a business liability insurance policy includes a material provision that the insured party must maintain a certain level of safety standards or risk management practices, but the insured party fails to do so, this could be considered a violation of the material provision. If a liability claim is made against the business and it is found that the failure to maintain safety standards or risk management practices contributed to the claim, the insurer may be able to deny coverage or cancel the policy.