Wallach v. Monarch Life Insurance

This major medical policy covered loss resulting from (1) sickness contracted or commencing while the policy was in force or (2) bodily injuries caused by an accident occurring while the policy was in force. It contained a clause limiting to $1,600 the maximum payable for any one continuous period of treatment of mental disease or deficiencies.

A “ sickness ”, of course, can have its origin in a weakness, defect or condition existing long before the issuance of the policy. A ‘ ‘ bodily injury ’ ’, however, must be caused by an accident, an objective event, occurring while the policy is in…