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Canning v Farquhar: Insurance Contract Principles by NBT OO is a document available to read on EtoBox.

Canning applied for life insurance and was told no contract would exist until payment of the first premium. Before paying, Canning died in an accident. The court held that no insurance contract was in place because the risk had changed before payment. For a valid insurance contract, payment of the premium must occur before any change in risk. The principle established is that indemnity against loss only takes effect when the insured pays the premium. Accepting payment of the premium finalizes the contract,

Author

NBT OO

Language

EN