American Agency Life Insurance v. Russell

This appeal requires us to determine when an application for life insurance ripens into an enforceable life insurance policy, thereby superseding liability created under a conditional receipt. The trial court granted the beneficiaries' motion for summary judgment, determining the policy to have become effective when the premium was paid and the insurance company internally approved the application, even though the insurance company had not transmitted that approval to the insured as contemplated in the application. The insurance company, American Agency Life Insurance Company (American…