Jones v. New York Life Insurance

Citations

• 29 S.E. 846
• 122 N.C. 578
• 1898 N.C. LEXIS 307

Syllabus

<p>Action on Life Insurance Policy — Forfeiture of Policy by Non-Payment of Premium — Agent.</p> <p>1 In the trial of an action on a life insurance policy which contained a provision that the policy should be forfeited in case of a failure to pay the premium when due, or within the time of grace allowed, it appeared that A, the treasurer of a corporation (of which the insured was an employee, and C, the general agent of the defendant insurance company, was a stockholderand director), was in the habit of receiving and remitting to C premiums duo by employees of the corporation, but in doing so acted at the request of such policy holders and not under the instructions of C. It also appeared that on one occasion, at the request of J, the plaintff’s intestate, C sent a receipt to A, who delivered it to J, on receipt of the premium; and when the next premium came due J requested A to forward to C the amount due to J from the corporation in payment of the premium, which A neglected to do within the time limited for such payment. Held, that A, being in such transactions the agent of J, and not of the insurance company, the forfeiture of the policy for non-payment of the premium was not avoided by the arrangement between J and A.</p> <p>2. In such case, the fact that A had frequently, at the request of C, written letters to the latter concerning policy holders, was not, of itself, evidence of any right on A’s part to transact business for the insurance company, of which C was general agent.</p>