Proceedings in the Matter of the Interpretation of Section 450 of the Civil Code

Cover Proceedings in the Matter of the Interpretation of Section 450 of the Civil Code
Proceedings in the Matter of the Interpretation of Section 450 of the Civil Code
California Division of Insurance
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There mav be something in that.
MR. THOMAS. That is the reason we endeavored to get the definition of term insurance so clearly before your Honor. Term insurance is something that has no hereafter at all. The statute of no State ever contemplated that where a man had original term insurance, there should bo any rights flowing from it, and that after a time, by virtue of the payments made under the con- tract for such term insurance he should be entitled to further rerm in. -iura. Nc-e, because,
... when you ap])ly the net reserve to the purchase of non-participating term insurance, it is based upon the original contract of term insurance, and the premiums upon that class of insurance are very small, and the intention is that upon the expiration of that time, the insurance expires entirely. Yet, in spite of that, your construction of the statute must give the insured additional insurance. And he can go to the Com- pany again at the end of three months and say, "I will change this again. I have had extended term insurance, and now 1 will let that go and take jiaid-up insurance.

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