INDIAN EQUITABLE INSURANCE CO LTD Vs. ONKARAPPA

JUDGEMENT

(1.) The plaintiff's father took out an insurance policy on his life in the defendant Company in 1920. The premium was payable annually, but the payment due in March 1924 was allowed to remain unpaid even after the expiry of the period of grace. i.e., even after 2nd April. When the Company gave the assured a notice of lapse on 8 April, the assured sent in the declaration Ex. 5 as required by the rules of the Company and the terms of the policy according to which the policy could be revived on furnishing satisfactory evidence of continued good health and on the payment to the Company of all premiums duo with interest at the rate of 6 per cent per annum up to the date of re-instatement.

(2.) It would appear that the policy in this case had even by the date in question acquired a surrender value, but it is unnecessary to base any conclusion on that circumstance, because the declaration was made within the time allowed even in respect of policies which had not acquired such surrender value. The declaration and payment were accepted by the Company and the policy was revived. The assured died in October 1924; and when the claim was sent in on behalf of the plaintiff, the claim was accompanied by the following certificate given by the doctor under whose treatment the assured was just before his death. Mr. Saranappa was suffering from acute dyspepsia from the beginning of August 1924 to the e September, 1924 and succumbed to it on 4 October 1924. He had slight attack of the same in the last weak of January 1924 but got over it by undergoing treatment for over a month (Ex. 1).

(3.) On receipt of this certificate, the company thought of raising the question whether at the date of Ex. 5 Saranappa was justified in making the declaration that he had continued in good health because, according to Ex. 1, he had had an attack of dyspepsia between January and March 1924. They accordingly put further queries to the doctor to which ho replied by the letters Ex. 2 series, giving more detailed information as required by them, but they do not really carry the matter very far.