Commercial Bankers Life Insurance Company et al. v. John A Kirk, Jr. et al., 66 Ore. App. 359, (1984)

Stephen R Jaffe

Case Conclusion Date:January 11, 1984

Practice Area:Insurance

Outcome:Affirmed summary judgment

Description:Four life insurance carriers sought declaratory relief relieving them from liability to pay life insurance benefits to the beneficiary of a decedent which decedent had purchased "credit life insurance" shortly before his death from cancer. Plaintiffs argued that the contracts of insurance were void on account of the insured's having withheld information about the grave state of his health. The trial court and Court of Appeals determined that , since the enhanced premiums charged by the carriers took into account every contingency - even the one before the court - the carriers were liable to pay the benefits.