Agreement For Insurance

An agreement often made in short terms preliminary to the filling out and delivery of a policy with the specific stipulations. Such an agreement, specifying the rate of premium, the subject and risk, and amount to be insured, in general terms, and being assented to by the parties, is binding. 1 Phil. Ins. c. 1, § 3; 2 Curt. C. C. (U. S.) 277; 19 N. Y. 305.

An agreement often made in short terms preliminary to the filling out and delivery of a policy with specific stipulations. Such an agreement, specifying the rate of premium, the subject, and risk, and amount to be insured, in general terms, and being assented to by the parties, is binding; Tyler v. Insurance Co., 4 Rob. (N. Y.) 151; Oliver v. Insurance Co., 2 Curt. 277, Fed. Cas. No. 10,498; Trustees of First Baptist Church v. Insurance Co., 19 N. Y. 305. It is usually in writing, but may be by parol or by parol acceptance of a written proposal; Union Mut. Ins. Co. v. Insurance Co., 2 Curt. 524. Fed. Cas. No. 14,372; Commercial Mut. Marine Ins. Co. v. Insurance Co., 19 How. (U. S.) 318, 15 L. Ed. 636; Mobile Marine Dock & Mutual Ins. Co. v. Mc Millan, 31 Ala. 711; Ellis v. Insurance Co., 50 N. Y. 402, 10 Am. Rep. 495; Ela v. French, 11 N. H. 356. It must be in such form or expression that the parties, subject, and risk can be thereby distinctly known, either by being specified or by references so that it can be definitely reduced to writing; Trustees of First Baptist Church v. Insurance Co., 19 N. Y. 305. Such an agreement must have an express or implied reference to some form of policy. The ordinary form of the underwriters in like cases is implied, where no other is speci- 91; 3 B. & Ad. 90G; Hubbard v. Insurance Co., 33 la. 325, 11 Am. Rep. 125; Barre v. Insurance Co., 76 la. 609, 41 N. \V. 373; Oliver v. Insurance Co., 2 Curt. 277, Fed. Cas. No. 10,498. Wbere tbe agreement is by a communication between parties at a distance, an oiler by eitber will be binding upon both on a despatch by tbe otber of bis acceptance within a reasonable or the prescribed time, and prior to the offer having been countermanded; 1 Phil. Ins. §§ 17, 21; Myers v. Insurance Co., 27 Pa. 268, 07 Am. Dee. 4G2. It is a common practice to "bind" insurance against fire for a short period by mere oral communication. See Policy; Insurance.

A brief agreement entered into between the insurer and insured, preliminary to the filling up and delivery of a policy.