113 Ky. 624 | Ky. Ct. App. | 1902
Opinion of the court by
Affirming.
Mr. Boston, manager of tin' appellees at Gallatin, Tenn., applied to Mr. Donnell, agent for the appellant and a number of other insurance companies at that place, for $3,500 ■of insurance on the goods owned by the appellees at the above-named plaee. Donnell was instructed to place the insurance in' two of the best companies. Thereupon he
Preliminary to the first proposition, it may be stated that verbal contracts- of insurance are valid. Insurance Co. v. Rowe (20 R., 1473) (49 S. W., 422); Fidelity & Casualty Co. v. Ballard & Ballard Co. (20 R., 1169) (48 S. W., 1074; Insurance Co. v. Spiers, 87 Ky., 285 (10 R., 254) 8 S. W., 453; Insurance Co. v. Owen’s Adm’r, 94 Ky., 197 (14 R., 881) 21 S. W., 1037. It may also be added that when appellees’ agent applied for insurance, and told the agent of the appellant to select the companies in which to place policies amounting to $3,500, such policies as were issued under that instruction in accordance with the contract were enforceable, although the companies were not designated by appellees’ agent. 8o, when the policy was issued in the company for $2,000, although it was not actually delivered, there was a binding contract of insurance. If the policy had not been issued at all, an enforceable contract of insurance would have existed. The question recurs, could appellant’s agent cancel that contract of insurance without notice to the insured? There was no contract between the parties that the insurance agent, Donnell, was io keep the appellees’- property insured in the sum of $3,500, nor was it in contemplation of the parties that there would be occasion for the cancellation of the gplicy to be issued, and others substituted in lieu thereof. While it is true1 that it máy be regarded within the agreement that the companies which were to be selected ins which policies were
It is averred by the appellant that there was a provision in the policy which its agents issued to the effect that, in the event the assured should procure any -other or additional insurance upon the property insured without its
The judgment is affirmed. .