Eclectic Life Insurance v. Fahrenkrug

Citations

• 68 Ill. 463

Syllabus

<p>1. Insurance—evidence of fraudulent representations as to health of pa/rty insured. The fact that the person whose life was insured was, shortly afterwards, stricken with disease, which ultimately caused his death, may or may not, according to the other pyoofs, afford evidence of fraud in representing him to have been in good health. Taken in connection with other evidence tending to show that the disease existed w-hen the policy was applied for, it would be material, but standing alone, or in connection with evidence of previous good health, it is insufficient to raise even a presumption of fraud.</p> <p>2. Same—payment to an agent—when binding. Where an agent employed by an insurance company to take applications for insurance took the same, and afterwards delivered the policy and collected the first half-yearly premium, his authority so far not being disputed, and he after-wards represented himself as having authority to receive the premium for the second half year before the same was due, and received the same, giving a receipt for both payments, and the assured, through her agent, on inquiry at the office of the company, was informed by a clerk then in charge that the payment was all right, and could not be refunded, and the company, after notice, never repudiated such payment and notified the assured thereof until after the death of the party whose life was insured: Held, that the company could not avoid payment of the policy on the ground that the agent had no authority to receive the second premium.</p> <p>8. Agency—power of agent to bind—how determined. An insurance company will be bound by the acts of their agents, if within the powers he is held out to the public as possessing.</p> <p>4. If a premium on a policy of life insurance be paid and accepted by an agent who is apparently authorized by the company to receive it, the payment will be sufficient, whether it be in conformity with the terms of the policy or not.</p> <p>5. Same—power of clerk of insur