A thoroughbred mastiff was insured against loss (accidental death, disease or destruction for humane reasons). On veterinary advice, but without the insurer's consent, the owner (insured) had the mastiff destroyed for humane reasons. The insurer denied liability as it had not given its consent to the mastiff being destroyed. They refused because they had received veterinary advice that the mastiff had a 1:500 chance of recovering. The owner claimed that the insurer refusing consent to destruction was a breach of the policy and of its obligation to act towards the insured with the utmost good faith under s. 13 and 14. The insurer claimed that the insured's conduct in having the mastiff destroyed was in breach of its good faith obligations to the insurer under s. 13 and 14.

Which of the following statements is correct?

Group of answer choices

The insurer has breached ss 13 & 14 of the Insurance Contracts Act 1984 (Cth).

The Insured has breached ss 13 &14 of the Insurance Contracts Act 1984 (Cth).

None of these answers are correct.