American Life Ins. Co. of Alabama v. Carlton

(as modified on rehearing).

An executory contract to insure, or to issue a policy of insurance, is an obligation to insure upon the terms of a policy expressly or impliedly assented to by both parties. The cause of action for ‘ breach of such executory agreement, after loss ensues, is the same as under the policy to be issued, and the measure of damages the same. 1 Couch, Encyc.Ins.Law, § 82; 32 C.J. 1098; Commercial Fire Ins. Co. v. Morris & Co., 105 Ala. 498, 18 So. 34; Home Ins. Co. v. Adler, 77 Ala. 242; Alabama Gold Life Ins. Co. v. Mayes, Adm’r, 61 Ala. 163; Liverpool & London & Globe…