Saturday, February 25, 2012

Great Pacific Life Assurance Corp vs Court of Appeals

Facts: A contract of group life insurance was executed between Grepalife and DBP. The former agreed to insure the lives of eligible housing loan mortgagors of DBP. Dr. Leuterio applied membership in the group life insurance plan. He answered in the application form that he has never consulted a physician for heart condition, high blood pressure, cancer, diabetes, lung, kidney, or stomach disorder or any other physical impairment, and that to the best of his knowledge he is in good condition. During the subsistence of the insurance he died from massive cerebral hemorrhage. Grepalife denied the claim because of concealment since it was discovered that he had high blood. His widow filed a claim. 

Issue: Whether or not there was misrepresentaion so as to warrant denial of claim; Whether or not the widow of Leuterio is a real party in interest 

Held: The Supreme Court ruled that there was no sufficient proof that the insured suffered from hypertension. It is a well-settled ruled that the fraudulent intent on the part of the insured must be established to entitle the insurer to rescind the contract. As regards the second issue, the widow can be regarded as real party in interest because in mortgage redemption insurance the mortgagor and not the mortgagee is the contracting party. The mortgagor merely assigns the proceeds to the mortgagee. Therefore, since by principle of succession the widow may claim.

Digg Google Bookmarks reddit Mixx StumbleUpon Technorati Yahoo! Buzz DesignFloat Delicious BlinkList Furl

5 comments: on "Great Pacific Life Assurance Corp vs Court of Appeals"

Maylene Vidler said...

Absolutely wonderful post I really appreciate it and I wana read and increase my knowledge more. Affordable Life Insurance

Maylene Vidler said...

I am glad I came here to read it and enjoyed it. Your sites theme is also very cool. Affordable Life Insurance

Maylene Vidler said...

Wow... this is a great way to express your own thoughts. Really your articles are very informative for everyone. Home Insurance Discount

Maylene Vidler said...

Really very interesting information.... Thanks very much for sharing it. Keep posting such interesting information. Engineers auto insurance discount

Anonymous said...

here's a reputable company that offers affordable life insurance online.

Post a Comment