GA Code § 33-25-5 (2021)
2021 Georgia Code|Title 33 - Insurance|Chapter 25 - Life Insurance|§ 33-25-5. Inclusion of Provisions Excluding or Restricting Liability for Death

  No policy of life insurance, except as stated in subsection (c) of this Code section, shall be delivered or issued for delivery in this state if it contains a provision which excludes or restricts liability for death caused in a certain specified manner or occurring while the insured has a specified status, except that the policy may contain provisions excluding or restricting coverage as specified therein in event of death under any one or more of the following circumstances:   Death as a result, directly or indirectly, of war, declared or undeclared, or of any act or hazard of such war;   Death as the result of aviation or any air travel or flight;   Death as a result of a specified hazardous occupation or occupations;   Death while the insured is a resident outside the continental United States and Canada; or   Death within two years from the date of issue of the policy as a result of suicide, while sane or insane.     A policy which contains any exclusion or restriction pursuant to subsection (a) of this Code section shall also provide that in the event of death under circumstances to which any such exclusion or restriction is applicable, the insurer will pay an amount not less than a reserve determined according to the Commissioner's reserve valuation method upon the basis of the mortality table and interest rate specified in the policy for the calculation of nonforfeiture benefits or, if the policy provides no such benefits, computed according to a mortality table and interest rate determined by the insurer and specified in the policy with adjustment for indebtedness or dividend credit.   This Code section shall not apply to group life insurance, reinsurance, annuities, or to any provision of a life insurance policy, or contract supplemental thereto, relating to disability benefits, or to additional benefits in the event of death by accident or accidental means.   Nothing contained in this Code section shall prohibit any provision which in the opinion of the Commissioner is more favorable to the policyholder than a provision permitted by this Code section.    (Code 1933, § 56-2507, enacted by Ga. L. 1960, p. 289, § 1; Ga. L. 1984, p. 22, § 33.)   Cross references.   - Effect of "living will" on life insurance policy, § 31-32-9.   Law reviews.   - For note, "Incontestability Clauses in Georgia Insurance Contracts," see 13 Ga. L. Rev. 850 (1979). For comment, "Having an Affair May Shorten Your Life: The Ashley Madison Suicides," see 33 Georgia St. U. L. Rev. 455 (2017).   JUDICIAL DECISIONS   Editor's notes.   - In light of the similarity of the statutory provisions, decisions under former Civil Code 1910, § 2500, are included in the annotations for this Code section.    Policy behind O.C.G.A. § 33-25-5 is to preserve actuarial stability. Midland Nat'l Life Ins. Co. v. Citizens & S. Nat'l Bank, 641 F. Supp. 516 (M.D. Ga. 1986).    Law never presumes suicide from the fact of self-destruction. Mutual Life Ins. Co. v. Durden, 9 Ga. App. 797, 72 S.E. 295 (1911); Supreme Forest Woodmen Circle v. Newsome, 63 Ga. App. 550, 11 S.E.2d 480 (1940); Liberty Nat'l Life Ins. Co. v. Tidmore, 71 Ga. App. 271, 30 S.E.2d 668 (1944); South Ga. Brokers, Inc. v. Fidelity Bankers Life Ins. Co., 153 Ga. App. 503, 265 S.E.2d 815 (1980) (decided under former Civil Code 1910, § 2500).    Burden is upon insurer to establish the contrary by a preponderance of the evidence. Mutual Life Ins. Co. v. Durden, 9 Ga. App. 797, 72 S.E. 295 (1911) (decided under former Civil Code 1910, § 2500).    Presumption against suicide is not conclusive and will vanish upon proof of physical facts clearly inconsistent therewith. Supreme Forest Woodmen Circle v. Newsome, 63 Ga. App. 550, 11 S.E.2d 480 (1940).   Meaning of provision excluding liability for suicide.    - When a contract of insurance provides that the policy shall be void in the event the insured commits suicide within a certain time, whether at the time of committing suicide the insured is either sane or insane, the meaning is that, regardless of the insured's sanity or insanity, the voluntary self-destruction of the insured within the time set out shall void the policy. Supreme Forest Woodmen Circle v. Newsome, 63 Ga. App. 550, 11 S.E.2d 480 (1940).   Theory of accident over suicide adopted.    - When the fact of death is established, and the evidence points equally or indifferently to accident or suicide as the cause of death, the theory of accident rather than of suicide is to be adopted. Supreme Forest Woodmen Circle v. Newsome, 63 Ga. App. 550, 11 S.E.2d 480 (1940).   Sanity of suicide at time of death immaterial.    - Words "die by his own hand or act," as used in a life insurance policy, are synonymous with "voluntary suicide," and convey the idea of intentional self-destruction; but when such words are coupled with the provision "whether sane or insane," it is immaterial whether the insured at the time of the self-destruction was sane, or whether the insured's mental faculties were so impaired as to destroy his moral responsibility. Supreme Forest Woodmen Circle v. Newsome, 63 Ga. App. 550, 11 S.E.2d 480 (1940).   When two-year period in suicide clause commenced.   - Ambiguity created when a conditional receipt purported to make certain provisions effective on one date and the policy purported to make the same provisions effective on a different date was construed against the insurer, and the two-year period in the suicide clause commenced on the date coverage became effective under the conditional receipt, rather than on the issue date of the policy. Midland Nat'l Life Ins. Co. v. Citizens & S. Nat'l Bank, 641 F. Supp. 516 (M.D. Ga. 1986).   Evidence insufficient to warrant disturbing verdict for plaintiff.    - Upon proof that the insured died by external and violent means, when there are conflicts in the evidence as to the physical facts surrounding the death, and the evidence does not demand the finding that the death was by suicide, a verdict for the plaintiff, having the approval of the trial judge, will not be disturbed. Gulf Life Ins. Co. v. Fetzer, 59 Ga. App. 176, 200 S.E. 165 (1938).   Waiver of statutory contestability period.    - When an insurance policy contained the clause, "The company shall not be liable hereunder, in the event of the insured's death by his own act, whether sane or insane, during the period of one year after the issuance of the policy," the benefit of former Civil Code 1910, § 2500 (see O.C.G.A. § 33-25-5) was waived, unless such waiver was against public policy. Mutual Life Ins. Co. v. Durden, 9 Ga. App. 797, 72 S.E. 295 (1911).    In the present case, there is no clearly defined public policy opposed to the waiver of former Civil Code 1910, § 2500 (see O.C.G.A. § 33-25-5), and there is a clear and vitally important public policy demanding the enforcement of the contract according to the contract's terms and the intention of the parties. Mutual Life Ins. Co. v. Durden, 9 Ga. App. 797, 72 S.E. 295 (1911).   RESEARCH REFERENCES   Am. Jur. 2d.   - 43 Am. Jur. 2d, Insurance, § 523 et seq.   C.J.S.   - 46 C.J.S., Insurance, § 1671 et seq.   ALR.    - Death as within provision exempting insurer, or limiting liability in case of "injury" intentionally inflicted, 6 A.L.R. 1338; 22 A.L.R. 299.    Insurance: constitutionality of statute precluding defense of suicide in action on policy of life or accident insurance, 13 A.L.R. 787.    Death from "suicide" as an accident, or due to accidental means, within policy of accident insurance, 16 A.L.R. 1402.    Insanity of insured as affecting provision against liability for death in consequence of the violation of law, 25 A.L.R. 190.    Liability under policy of life insurance where insured is executed for crime, 36 A.L.R. 1255.    Right of insurer to directed verdict on issue of suicide, 37 A.L.R. 171.    Provision in policy of life or accident insurance as to "self-destruction," "death by not own hand," and other forms no employing term "suicide," as applicable to death by accident, 37 A.L.R. 1088.    Death or injury resulting from insured's voluntary act as caused by accident or accidental means, 71 A.L.R. 1437, 111 A.L.R. 628.    Rescission of policy of life or accident insurance after death of insured by agreement, express or implied, with beneficiaries, 80 A.L.R. 185.    War risk life and disability insurance, 81 A.L.R. 933.    Time of operation of suicide clause as affected by reinstatement of policy, 98 A.L.R. 344.    Physical condition which in itself is not within, or is expressly excluded from, the coverage of an insurance policy, a within such coverage when it results from or is directly attributable to a cause within the coverage, 108 A.L.R. 6    What amounts to a claim under a war risk policy within the contemplation of the World War Veterans' Act in that regard, 117 A.L.R. 945.    Validity, construction, and effect of provisions in life or accident policy in relation to military service, 137 A.L.R. 1263; 36 A.L.R.2d 1018.    Insurance: death or injury in battle as due to accident or accidental means, 137 A.L.R. 1286; 140 A.L.R. 1533; 141 A.L.R. 1510.    National Service Life Insurance Act, 153 A.L.R. 1413; 155 A.L.R. 1445; 156 A.L.R. 1445; 157 A.L.R. 1445; 158 A.L.R. 1445.    Construction and application of provisions of life or accident policy relating to aeronautics, 155 A.L.R. 1026; 17 A.L.R.2d 1041.    Insurance: "accidental means" as distinguishable from "accident," "accidental result," "accidental death," "accidental injury," etc., 166 A.L.R. 469.    Meaning of term "duration" or "end of war" employed in contract, 168 A.L.R. 173.   Insurance: coroner's verdict or report as evidence on issue of suicide, 28 A.L.R.2d 352.   Presumption against suicide as overcome as a matter of law by physical facts related to death in action on accident or life insurance policy, 85 A.L.R.2d 722.   Construction and effect of provisions in life or accident insurance policies referring to "assault," "felony," "fighting," etc., by insured, 86 A.L.R.2d 443.   Insurance: construction of "sane or insane" provision of suicide exclusion, 9 A.L.R.3d 1015.   Construction and effect of provision of life or accident insurance policy specifically excluding liability for injury or death from poison, 14 A.L.R.3d 783.   Suicide clause of life or accident insurance as affected by incontestable clause, 37 A.L.R.3d 337.   Liability under life or accident policy not containing a "violation of the law" clause, for death or injury resulting from violation of law by insured, 43 A.L.R.3d 1120.   Life or accident insurance: sufficiency of showing that death from drowning was due to accident or accidental means, 43 A.L.R.3d 1168.   Insured's nondisclosure of information regarding value of property as ground for avoiding liability under property insurance policy, 15 A.L.R.4th 1109.   Construction and application of provision of liability insurance policy expressly excluding injuries intended or expected by insured, 31 A.L.R.4th 957.   Scope of provision in liability policy issued to municipal corporation or similar governmental body limiting coverage to injuries arising out of construction, maintenance, or repair work, 30 A.L.R.5th 699.   What constitutes medical or surgical treatment, or the like, within exclusionary clause of accident policy or accidental-death feature of life policy, 56 A.L.R.5th 471.