Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1901-08-20
rights OE |H[ Agent
Important Suit That will Decide
Much Discussed insurance
Question.
Involves Right of Agent to Waive
Certain Conditions in
Policy.
Permission Was Given to vacate
House Without lnvalidatins
the Risk.

Sioux City, Aug. 2O.-"Can the local
agent of an insurance company waive
the condition ola policy that it shall be
void if the premises are unoccupied?" is
the question raised in the supreme court
of Nebraska at Lincoln, in case from
Dakota county, in which Sioux City
parties are plaintiffs and the state IN
surance company of Des Moines defen-
dant.
This is the second appearance OF the
case in the supreme court, the insur-
iance company having won one and the
plaintiff twice in previous trials. Mrs.
Frank Hunt, formerly of Sioux City,
now of Chicago, owned some property
in South Sioux City. This she insured
in the defendant company. The prem
ises We're occupied by tenant but Mrs.
Hunt, during the life of the policy,
caused it to be vacated to close up a
deal. The tenants moved out, but day
or two afterward the Hunt house was
burned down. The Hunts demanded the
insurance money, but were refused, on
the ground that the property was in
sured as residence, to be occupied by
the owner, and that when occupied by
tenant there was an increase of hazard
and violation of the contract. The To-
cal agent of the company, Win S. White,
gave the Hunts permission to allow the
house to be vacant for short time,
and the period covered had not expired
when the fire occurred.
The company denied Whites right to
make such waiver and insisted upon
strict construction of the contract.
holding also that when there was
change of occupants the policy became
void IL the written consent Of the COM
pany was not secured. Upon this con-
tention the company won out in the last
trial before Judge Kincaid.
The point at issue has never been
definitely settled. Some states hold that
L the local agent conveys the informa-
ton he has about the property to the
managing officer of the company the
latter will be bound This is the Ne
braska law. In Iowa the court has held
that it ia the undoubted right of the in
surance company to impose limitation
upon the authority of its agent, and If
he exceeds that actual authority and the
person dealing with him mas notice of
the fact the principal is not bound
The insurance company, in its brief
just fled Is not so sure of maintaining
its ground upon this defense, and brings
forward as one of its strongest defenses
the fact that, Mrs. Hunt moved out and
put tenant in after the policy had been
issued without getting the company's
consent. Attorney Carlow grows rather
sentimental in dealing with this part of
the question, and inserts the following
novel plea:
1T is but automatic to say man is
the best guard over his own household
and goods. When husband and wife, by
years of toll or strides of success. spend
their earnings in building and furnish
ing home. surrounded by the convent
ences and comforts desired. no other
persons can feel the same interest in
that home and property or watch with
the same care for its preservation and
protection. They appreciate their own
efforts and success-their home and
property is dear to them-take every
precaution for its protection. They point
with pride to their comforts, and tell
their children of their early struggles in
accommodating the property. The wife.
takes pride in caring for it, and looking
after little details which, like a small
crevice i'll a dam, might soon become
great danger; the husband watches
chimneys, stoves, furnaces and every
Part of his house which might lead to
danger from fire or water.
How many tenants will do this?
What object do they have for any par
ticular care over your property or mine?
They have 1t hired; they pay for wear
and tear of 1t, and their duty is per-
formed when they meet the rental"
The Southern Iowa Prospecting Com
pany found a seven-foot vein of coal in