Annals, Anecdotes and Legends: A Chronicle of Life AssuranceFrancis, John, of the Bank of England
History
Annals, Anecdotes and Legends: A Chronicle of Life Assurance
Francis, John, of the Bank of England
Life insurance
It has been said that corporations have no souls to be saved or bodies
to be kicked; but it may be added that they have a wild kind of justice
meted to them when they appeal to a jury. So early as 1801, this was
proved in a case of life assurance.
In 1799, a Mr. Robson, at the instance of a Mr. Kerslake, who was to
grant the former an annuity, proposed his life for insurance to the
Westminster Insurance Company. The usual forms were passed through, the
usual undertaking entered into that the assured was in good health,
his age being only twenty-three, and the policy was issued by the
office. In three months he died. The Westminster Society made inquiries
which perhaps they should have made before, and those inquiries
discovered that Mr. Robson had been labouring for some time under
what is popularly known as a tendency to consumption; that in 1797 he
had suffered from hæmorrhage in the lungs, but had recovered; that in
February, 1799, though he had another similar attack in a more violent
degree, he had said nothing about it, opening the policy on his life
in March. In the autumn he took cold, fell into a rapid decline and
died. There was clearly a predisposition to disease, and though it is a
very important consideration, whether a policy once open should not be
indisputable, yet until this is so, there is in a case like the present
but one view to be taken. The company rightly refused to pay, and an
action was brought to compel them.
“Who shall decide when doctors disagree?”
One party swore there were no symptoms which indicated consumption.
The other took their oaths that consumption was inevitable with such
symptoms. In vain Lord Kenyon charged the jury in favour of the
Westminster, the jury knew better than his lordship, and had no notion
of a policy being opened without being discharged, whatever the deceit
might be. They decided against the company. Another trial was sought
and granted, but in vain. The new jury maintained the principles of the
old, and the company lost its money and gained the vituperation of the
unthinking.
Public-domain text, read in full here on John Shaqi.
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