Universal Life Ins. v. Binford

Citations

• 1882 Va. LEXIS 8
• 76 Va. 103

Syllabus

<p>1. Insurance Companies—Attachments.—A New York insurance company was reported by the State insurance superintendent to the attorney-general as not in the condition required by law. Thereupon proceedings were started to dissolve the company and appoint a receiver. Soon after, each of eight Virginia policy-holders sued out his attachment and levied it on property of the company in Bichmond, and each filed his bill, alleging that the company had become insolvent and would not be able to fulfill its contract when his policy matured, and praying for • the enforcement of his lien.</p> <p>Held :</p> <p>These attachments did not enure to the benefit of all the policy-holders, whether parties to the suits or not.</p> <p>This case is unlike that of Finney v. Bennett and als., 27 Gratt. 365, where the bank had ceased business and a “ creditors’ bill ” had been filed to settle its affairs and distribute its assets.</p> <p>2. Idem:—Insolvency—Policy-holders.—The company being insolvent when the bills were filed, complainants were entitled to recover; and no subsequent change in its condition, effected by other policy-holders, could defeat their recovery.</p> <p>3. Idem—Measure of recovery.—Each policy-holder,is entitled to a sum of money which, on the day of the company’s insolvency, would purchase from a solvent company a policy of the same kind, for the same amount'^' and for the same rate of premium.</p> <p>4. Idem—How ascertained.—This sum is ascertained by treating the difference between the premiums paid the defendant company and the premiums to be paid the new insuring company, as an annuity for the assured’s expectation of life, and calculating its cash value.</p> <p>5. Idem—Evidence.—The report of the State insurance superintendent having been, without objection, read as evidence in the court below, the failure to except there is tantamount to a waiver of objection here.</p> <p>6. Idem:—UhrenewaMepolicies.—Where policy-holder has died, or become uninsurable before th