McGinness v. Caledonian Insurance

Citations

• 78 Pa. Super. 376
• 1922 Pa. Super. LEXIS 121

Syllabus

<p>Insurance — Fire insurance — Permission to remove insured articles — Verbal permission by agent of insurance company — Liability on policy.</p> <p>In an action to recover money due on a fire insurance policy, evidence was produced, on the part of the plaintiff, that upon removal of his household goods from one town to another, he took the policy to the agent of the fire insurance company, and requested the permission of the insurance company for such removal. The agent agreed to the transfer, stipulating that the premium would be at a higher rate, to which the plaintiff agreed. The agent did not endorse the policy. Subsequently the property was destroyed by fire. The company defended on the ground that the policy was avoided by the removal of the goods under the circumstances indicated, and that the company was without liability.</p> <p>Held, that the permission given by the agent was binding on the company and that a verdict in favor of the plaintiff would be sustained.</p> <p>Where the agent was acting within the scope of his authority and took the policy for the purpose of attaching his signature to the formal consent printed on the policy, the company was estopped from denying its liability because the agent had failed to endorse such signature in writing, after having consented to the removal, and promised to do whatever was necessary to make it effective.</p>