Light v. Countrymen's Mutual Fire Insurance Co. of Lebanon Co.

Citations

• 169 Pa. 310
• 32 A. 439
• 1895 Pa. LEXIS 1095

Syllabus

<p>Fire insurance — Insurable interest — Estoppel.</p> <p>Plaintiff being owner of premises on which was erected a barn, insured the same against loss by fire in defendant company. Subsequently, while the policy was in force, he sold said premises to T. Before delivering deed for same, plaintiff took it and the policy of insurance to the secretary of defendant company and asked 1ns advice as to how the insurance could be fixed so as to be retained by him as security for the payment of a purchase money judgment to be given to plaintiff in part payment for the properly. The secretary told him to hold the policy as it was and that the assessments would be sent to him, and that after T paid the judgment the policy could be transferred to him. This was done and three assessments were subsequently levied upon this policy and sent to plaintiff for payment, and paid by him. Plaintiff brought this action to recover the amount due him on said policy by reason of the total destruction of said barn by fire. The defense set up was want of insurable interest in the plaintiff. Edil, that, (1) when plaintiff sold and conveyed the land on which the barn in question stood, he parted with all his title, and thereafter had no insurable interest therein ; (2) the mere holding of a judgment for part of the purchase money of the property sold would not confer an insurable interest, upon which a policy could then be taken out for the protection of the judgment; Grevemoyer v. Southern Mut. Ins. Co., 62 Pa. 340, followed; (3) under the facts of this case, the defendant is estopped from asserting the want of insurable interest in the plaintiff. There was a valid existing policy at the time of the sale, and it continued in force by the voluntary agreement of both parties at the time of the fire. As it was in force for the purpose of collecting assessments upon it, it was certainly in force for the purpose of paying the loss, and for securing indemnity against which those assessments were paid