Union Insurance Exchange, Inc. v. Gaul

CUMMINGS, Circuit Judge.

In this diversity action, governed by Indiana law, the plaintiff Insurer sought to rescind a family automobile policy that it had issued to Richard J. Gaul of Crown Point, Indiana.

On September 4, 1963, Gaul appeared at the Cedar Lake, Indiana, office of Richard C. Gross, an insurance agent for plaintiff, in order to obtain automobile insurance. Gaul answered three vital questions in a box on plaintiff’s application form as follows:

“Yes No

“Has any insurer ever cancelled or refused any X auto insurance to applicant or any driver? 1948 Accident — Only loss

“Has any drivers…