Widow's Insurance Claim Fails

Northern Advocate, 16 July 1938, Page 10

Widow's Insurance Claim Fails

[Per Press Association. Co&yrighv.i WELLINGTON, This Day. The Full Court today delivered judgment in the case of Elizabeth O’Brien, of Gisborne, widow, against the South British Insurance Company, The case arose out of a claim by Mrs O’Brien under a comprehensive policy over her car. The insurance policy, which was taken out in the name of the person from whom Mrs O’Brien purchased the car as owner, and Mrs O’Brien as hirer, was in the usual form, covering loss or damage, to the car, third party property risk and bodily injury. The policy also provided that in the event of the insured or the husband of the insured, being killed in an accident involving the motor car, £IOOO would be paid to the insured. The policy contained a provision that the protection should not extend in the event of the car being driven to the knowledge of the insured by someone not having a driving license. The insurance company had pasted on the policy a slip to the effect that, for the purposes of the clause the policy under which the claim was made, Mrs C’Brien should be deemed to be the insured, and < not she and the person from whom the car had been purchased. An accident occurred when Mr C’Brien was driving the car and Mrs C’Erien was a passenger. Mr O'Brien was killed and his wife injured. Mrs O’Brien then claimed £IOOO under the policy, and in arbitration at Gis-1 borne in connection therewith it was found that at the time of the accident Mr O'Brien was not the holder of a driving license, and that Mrs O'Brien was aware of that fact. The arbitrators then reserved for the opinion of the court the question i whether that knowledge on the part j of Mrs O’Brien was sufficient to do- j feat her claim. | The Full Court decided that in view of a typewritten slip which had been pasted by the company oh-the policy, the words in question meant to the knowledge of Mrs O’Brien, and did not involve knowledge on the part of the vendor of the car. This decision will have the effect of preventing Mrs O’Brien from succeeding in her claim against the com- j pany.