Bill 37 (Legislature 13, Session 3)

L13 S3 6274

Alberta — Bills

3rd Session, 13th Legislature, Alberta 5 Elizabeth II, 1957 BILL 37 A Bill to amend The Alberta Insurance Act HON. MR. HOOKE EDMONTON,ALBERTA Printed by A. SHNITKA, Printer to the Queen's l\lost Excellent Majesly, 1957

Explanatory Note General. Unif'orm Insurance Law Revision. While at first glance it may appear that the Fire Insurance Part has been rather extensively redrafted, a closer examination will establish that the protection presently afforded to the in sured has not been reduced but on the contrary this has been somewhat extended. The necessity for the revision arose from (

a) the fact that but few policies today insure only against the peril of fire alone. Most policies are multi-peril or all risks and the practice is rapidly expanding. The revision elimInates doubts which have existed as to the application of the Part because of certain court decisions. At the same time it was necessary to provide greater flexibility in the law for the coverage now being given; (

b) the fact that many of the statutory conditions are anti quated and, in many cases, serve no useful purpose as they are waIved by insurers in most of their policies. These are statutory conditions which operate in favour of the insurer and required unnecessary printing. Broadly the scope of the uniform revision may be summarized as follows:

(1) Duplicate sections have been eliminated or consolidated e.g.

sectIon 31 is primarily the fire licensing section. Secti~n 207 (1) 1192 (1)] of the Part also dealt with this aspect.

SectIon 31 has been redrafted to include within its scope all of the licensing aspects.

Section 205 [190] has been eliminated as it is, in effect, duplication of other provisions.

(2) As indicated in (

a) above, the doubt as to the application of the Part has been eliminated by specific provisions in propose~

section 206 [191]. The extended coverage now given with the perIl of fire makes this necessary to avoid litigation.

(3) The scope of the coverage against the peril of fire has been defined by proposed

section 206a. This is, in effect, the combina tion of the definition of fire insurance with present Statutory Conditions 6 and 12 and the exclusions in present Statutory Con ditions 4 (

b) and (d). Thus, in one place will be found the cover age where a policy insures against the peril of fire. Provision has been made by proposed

section 206a for certain restrictions but subject to the protection for the insured of

section 217 (1) [201 (1)].

(4) The number of statutory conditions has been reduced from 24 to 15. This will save considerable unnecessary printing. This reduction has been accomplished 0) by transferring to the substantive law Statutory Conditions 2, 9, 22 and 24 relating to form of contract, notice to payees, waiver and SUbrogation respectively. These are not properly conditions but SUbstantive statements of law. As noted in item (3) above, Statutory Conditions 4 (

b) and (d), 6, 8 and 12 also have been transferred; (ii) by deleting Statutory Conditions 3, 4 (c), 5 (a), (

b) and (d,),.8 and .21. These deal with property excluded unl.ess ~pecificaUy mcluded, want of substantial chimneys, repaIrs, lllftammable substances, vacancy and other insurance. In ~o far as present Statutory Condition 3 is concerned this IS ~erely part of the property cover and is properly the ?ubJect of contractual provision. The insured cannot suffer III any way by thi~ ch8:nge. Statutory Condition 4 (

c) is today. ~of no practIcal Importance to insurers. Statutory CondltIo?- ~ (a), (

b) and (

d) are waived by insurers in the vast ma}onty o~ ~ases. If, f'or special risks, it is necessary to l?rovlde a sl~llar condition this may be done under s~ctIon 206~ subJect to the insured receiving the protec tIon of

sectIon 217 [201]. Statutory Condition 8, with its

ii p.enalty, appear~ to be un!l~cessary in view of present sec t~on 213 [I97a] In the revI~IOn. Any question as to elimina !lOn of what may be descnbed as fire prevention conditions IS sh0.r~ly answered by the continuation of present Statutory ~ondltIon 7~ the fact that they .a~e generally waived In whole. or l~ part, and by the prOVISIon of such conditions for speCIal rIsks; (iii) by the transfers to substantive law mentioned in item (3) above. .

(5) As p~~viously indicated, present

section 217 (1) [201

(1) J In the reYlsion has. been extended to give a larger measure of protectlOn to. t.h.e msured but at the same time giving some what more flexIbIlIty to meet modern conditions and coverages coverages which ~re i.n fact being given although doubt exist~ as to the legal SItuatIOn under the present Part. Sections 211 [196] and 212 [197] dealing with co-insurance and limitations of liability clauses have been revised as

section 211 [196] to make its application more certain. The present wording is ambiguous and creates substantial difficulties of

interpretation. It will be observed from the f'oregoing that the revision is not in principle one derogating from the protection of the insured indeed in some aspects this is extended. It is merely to meet the existing and developing situation in the forms of contract being offered. To continue the Fire Insurance

Part in its present form cannot be justified in the light of changing modern conditions and coverages. It may be suggested that this revision "jettisons" the existing case law and therefore will "breed" more litigation. This suggestion is without sound foundation as most of the important conditions have been retained in their present or substantially their present form and therefore the case law continues to apply. Those elim inated cannot adversely affect the insured or encourage litigation. Accident and Sickness Uniform Revision. (Clause 35 of this Bill)

Part VIII was first enacted in 1923. It was revised in 1926 but since that time very few changes have been made in it. The purpose of this revision is three-fold: 1. To add a number of provisions designed to assure increased protection to policy-holders and beneficiaries. 2. To shorten and simplify the statutory conditions. 3. To permit a degree of flexibility in cases .where it is appro priate to allow an insurer to vary or omIt a statutory con dition. New provisions to protect policy-holders and beneficiaries- 1. New

section 310 [286] requiring that exceptions fro~ and reductions in benefits be clearly brought to the notIce of the insured; 2. New paragraph (2) added to Statutory Condition 7 .. glvmg a claimant additional time, up to one year, to fur~Ish p!o~f of claim as well as notice of claim as now provIde.d, If It is not ~easonably possible for him to comply WIth the periods prescribed; 3. New

section 320a making innocent misreprhesental~ionhs, eXbce~~ those relating to age, incontestable after t e po ICY as e in force two years; New

section 320b stating that pre-existing conditions "Yill 4. not affect a claim unless specifically excluded fTom the polIcy (

a) if the loss occurs after a period of two years' cover, o~

iii (

b) at any time If the pre-existing condition was disclosed by the insured on his application; 5. New

section 320c providing for the appointment of bene ficiaries of an accidental death benefit and giving them a direct right of action against the insurer; 6. New

section 320g, a facility of payment section, permitting insurers to pay up to $2,000 to the relative of a deceased insured (or others who have incurred expense on his behalf). 7. New

section 320h, a prohibition against giving undue promi nence to the benefit provisions of a policy as compared to its restrictions. Shortening and Simplification of Statutory Conditions- Because many insureds do not carefully read their policies due to their length, the statutory conditions should be no longer than necessary. In this revision, the present statutory conditions have been shortened without sacrificing their purpose.

Flexibility- In addition to a shortening of the conditions, there are numerous respects in which it would be entirely proper for an insurer to vary or omit some of the conditions so long as the insured is not thereby prejudiced. This is in part due to the fact that the statutory conditions are framed to cover all forms of accident and sickness insurance,

whereas a particular policy may relate only to one form, e.g., hospital expense insurance. Further more, some of the conditions are designed to regulate the extent to which insurers may exercise some of the privileges given to them by the conditions, e.g., the right to terminate a policy. Where a policy may not be terminated, such a provision is naturally inappropriate. In the result, the new revision will give more protection to the insured than the present

Part VIII but will permit the sim plification of policy forms and in this way should lead to a better understanding by the public of this form of insurance. Fraternal Contracts- The present exemption of fraternal societies and their contracts from

Part VIII has been removed. The uniform revised

Part VIII will apply to these societies and their contracts subject to the special provisions relating thereto in sections 310 [286], 312 [288] and 314 [290],

General. As this Bill refers to the Revised Statutes of Alberta, 1955 not yet circulated, every reference will contain in these Not~s a reference within square brackets to the equivalent pro vision in the Revised Statutes of Alberta, 1942,

chapter 201. 2. [Section 2 subsection (3) J. This deletion is intended to remove the rest~iction regarding compensation f-rom the definition of agent and so bring persons acting as agents without compen sation within the scope of the Act. 3. This combines the present sections 31 [31] and 207 (1) [192 (1) 1. 4. [1951, c. 44, s. 5 (2) J and

section 34 (f) [33 (aa) J. This amendment and the amendment to

section 398 [373] is intended to r~lieve t~e conflict with

section 34 (f) [33 (00)], which req~llreS all ~nsurers undertaking life insurance in Alberta to be reglstere~ wlt.h the Dominion Department of Insurance, exc~pt The EmpIre Ll!e In~urance Company, and

section 398 [373], WhICh c<?~templ~tes lIcensing fraternals, which are included in the defi mllOn of. l!lsurer

section 2 (36) [2 (38)], and not registered with the DOmInIOn Department of Insurance . . The da~e June 30th, 1951, does not require any insurer presently hcensed In Alberta to register with the Dominion Department Qf Insurance.

BILL No. 37 of 1957

An Act to amend The Alberta Insurance Act (Assented to , 1957) HER MAJESTY, by and with the advice and consent of the Legislative Assembly of the Province of Alberta, enacts as follows: 1: The Alborta InsU'rance Act, being

chapter 159 of the RevIsed Statutes of Alberta, 1955, is hereby amended.

Section 2, clause 3 is amended by striking out the words ", for compensation,".

Section 31 is struck out and the following is sub stituted: "31.

(1) Every insurer licensed to carryon fire in surance may, subject to its Act of incorporation, and to the restrictions prescribed by the licence, insure or reinsure any property in which the insured has an insurable in terest against loss or damage by fire, lightning or explosion and insure or reinsure the same property against loss or damage from falling aircraft, earthquake, windstorm, tornado, hail, sprinkler leakage, riot, malicious damage, weather, water damage, smoke damage, civil commotion and impact by vehicles and against anyone or more perils falling within such other classes of insurance as are prescribed by the regulations. "

(2) An insurer licensed to carryon fire insurance may, under a contract falling within

Part V of this Act, insure an automobile against loss or damage.".

Section 34 clause (

f) is amended by striking out subclause (ii) a~d by substituting the following: "(ii) an insurer licensed under this Act before the thirtieth day of June, 1951.".

2 5. This new

section is to enable the Superintendent to require, when necessary, the filing of additional CUlrrent information re .. garding the affairs of the company on a regular basis. 6. Present

section 99 [90] requires certain insurers to show total liability on its unmatured policies on the annual statement. The annual statement blanks, uniform in all provinces, and which are approved for filing here, require the insurer to show as a liability only 80% of the unearned premiums and this refers to all insurance except life. The amendment is required to bring it into line with the approved statement blanks, other provincial insurance Acts, and accepted practice. '1. [92].

This amendment is required to prevent insurers in flating their financial statements by the inclusion of unpaid capital subscribed which in reality is an asset only in the event of liqui dation. Uniformity with other provinces will also be achieved. 8. [123] (

a) This amendment is to cure a typographical error. (

b) This amendment is to require changes in the by-laws to be filed with the Superintendent of Insurance within a reasonable time, thereby permitting the Superintendent of Insurance to keep abreast of important changes in the by-laws.

Section 140 [129] reads: "140. In the case of a provincial life insurance company "(

a) no salary, compensation or emolument shall be paid to any director for his services as director unless authorized by a vote of the members, in the case of a mutual company, or by vote of the shareholders and other members, if any, in the case of a company having a capital stock, "(

b) no salary, compensation or em01ument shall be paid to any officer or trustee unless authorized by a vote of the directors, and "(0) no salary, compensation or emolument amounting in any year to more than five thousand dollars shall be paid to any agent or employee unless the contract under which the amount becomes payable has been approved by the board of directors." This

section is equally applicable to other than life insurers and for the protection of policy-holders creditors and share holders of any provincial insurer is made tb so apply. :lOA

Section 155 [144] reads: "155.

(1) If the director~ of the company declare and pay any divi dend When the company IS insolvent or any dividend the payment of which renders the company insolvent, or diminishes the capital stock, ~hey are jOintly and severally liable, as well to the company as to the Individual shareholders and the creditors and in the case of a life company, to the participating polley-holders, for all the debts of the cOlntl?any tbe~ eXistmg, and for all thereafter contracted during their con muance In office.

2 5: The following new

section is added immediately aft .

sectIon 95: eI H~5a. In addition !o the annual statement required by sectIo!1 95, the SuperIntendent Il1ay, in such form and at such Interv:als a~ he ma~ I?rescribe, require statements to be filed wIth hIm pertaInIng to the financial affairs or general operations of the insurer.".

Section 99 is struck out and the following is sub stituted: "99. In the case of all classes of insurance other than life insurance, and in the case of all insurers, the statement shall show as a liability of the insurer eighty per cent of the actual portions of unearned premiums on all business in force on the thirty-first day of December then last past, or eighty per cent of fifty per cent of the premiums written in its policies and received in respect of contracts having one year or less to run and pro rata on those for longer periods." .

Section 101 is amended by adding immediately after the word "equipment," the words "or unpaid capital,".

Section 134 is amended (

a) as to subsection (2) by striking out the word "appeal," and by substituting the ,vord "repeal,", (

b) by adding immediately after subsection (2) the following new subsection: "

(3) The directors shall deliver to the Superin tendent, within one month after the passing of a by-law of the company or of any repeal, amendment or re-enactment thereof, a certified copy of the by-law and of any repeal, amendment or re-enact- ment thereof.".

Section 140 is struck out and the following is sub stituted: "140. In the case of a provincial insurance .company no salary, compensation or emolument shall be paId. to any director for his services as director unless authoflzed by a vote of the members, in the case of a mutual cOI?pany, ?r by vote of the shareholders and other members, If any, In the case of a company having a capital stock.".

Section 155 is amended (

a) by striking out subsection (1) and by substituting the following: "155.

(1) If the directors of the c.ompany de clare and pay any dividend or auth?rI.ze and pay any director's fee when the company IS Insolvent or

3 "

(2) Notwithstanding subsection (1), if any director present when the dividend is declared does forthwith, or if any director then absent does, within fourteen days after he becomes aware of the dividend being declared, publish a protest in at least three issues of any news paper published at the place in which the head office or cl}ief place of business of the company is situated, or if there is no newspaper published there, in at least three issues of the newspaper published nearest thereto, then that director thereby, and not ot1;lerwise, exon erates himself from the liability." This broadening of the liability of directors is in keeping with the intent of the

section as now constituted and will serve both as a deterrent to the withdrawal of funds f'or themselves while the company's capital stock is impaired or which would render the capital stock impaired and also as increased protection to policy holders, creditors and shareholders. 1.1..

Section 187 [172]. This

section transfers

section 209 [194] in

Part V dealing with fire insurance to

Part IV dealing with con tracts with minor changes in wording.

Section 209 [194] is to be repealed. A similar provision appears in the Parts of the Act deal ing with accident and sickness insurance (section 309), automobile insurance (section 282) and hail insurance (section 333), and SUbsection (2b) provides that this new provision does not apply to these contracts of insurance. Contracts of guarantee insurance, being of a special nature, are also exempted. :12.

Section 188 [173], This is comparable to present

section with the exception of subsection (2) which is omitted. Subsections (6) and (7) are also omitted, being covered by sections 231 (2) [212 (2)] and 232 (5) [213 (5)].

3 pay: any dividend or director's fee the payment of whIch r~nders the company insolvent or diminishes the capIta} stock thereof, they are jointly and ~ev~r~lly hable, as well to the company as to the ~ndIvIdual shareholders and creditors thereof and In ~he case of a life company, to the participating pohcy-h~ld~rs, for all the debts of the company the~ eXIst~ng, a~d for all thereafter contracted durIng theIr contInuance in office, respectively.", (

b) as to subsection (2) (

i) by adding immediately after the words "is de clared" the words "or the director's fee is authorized" , (ii) by adding immediately after the words "being declared" the words "or the director's fee being authorized".

Section 187 is amended by adding immediately after subsection (2) the following new subsections: "(2a) Every policy shall contain the name of the insurer the name of the insured, the name of the person or person~ to whom the insurance money is payable, the premium for the insurance, the subject matter of the insurance, the indemnity for which the insurer may become liable, the event on the happening of which the liability is to accrue, and the term of the insurance. ,. (2b) Subsection (2a) does not apply to contracts of accident and sickness insurance, automobile insnrance, guarantee insurance or hail insurance.".

Section 188 is struck out and the following is sub stituted: "188.

(1) Where the policy has been delivered the con tract is as binding on the insurer as if the premium had been paid, although it has not in fact been paid, and al though delivered by an officer or agent of the insurer who had not authority to deliver it. "

(2) The insurer may sue for the unpaid premium and may deduct the amount thereof from the amount for which he is liable under the contract of insurance. " (,3) Where a cheque, bill of exchange or promissory note or any promise to pay is given, whether originallJ:'" or by way of renewal, for the whole or part o~ any premIUm and the cheque, bill of exchange or promIssor;v note .or other promise to pay, is not honoured aCCOrdIng ~o Its tenor the insurer may terminate the contract forthWIth by giving written notice by registered mail. "

(4) In making the deduction mentioned in subsecti?n (2), the insurer shall allow to the insured the saI?e dIS count upon any unpaid premium as he would be entItled to if the unpaid premium were paid in cash at the date of the loss.".

Section 189 [174]. Subsection (1) reads: "189.

(1) Every insurer shall, immediately upon receipt of notice of any claim under a contract of insurance, forward to the insured or person to whom the insurance money is payable printed forms upon which to make the proof of loss required under the contract."

Section 190 L 175], This

section is reworded for clarification.

Section 191 [176] is removed and a new

section added deal ing with the matter of relief from forfeiture. Specific provisions dealing with relief from forfeiture are provided in the Fire Part (section 215 [199]), Automobile Part (section 287 [265]), Acci dent and Sickness Part (section 320 [295]) and the Hail Part (section 347 [322]) and this

section provides relief from for feiture of general application to all other contracts of insurance except life insurance.

Section 200 [185]. (

a) This subsection will recognize the difficulty in obtaining a written signature or countersignature in the case of machine-vended policies and will allow facsimile sig natures and counter signatures. Subsections (1) and (2) read: "200.

(1) No insurer licensed under this Act to transact insurance within the Province sl}all make, write, place or cause to be made, written or placed, any policy, duplicate policy or contract of isurance upon any matter or thing, real or personal situated in the Province or described in any policy, duplicate policy or contract of insurance as situated in the Province, unless the risk has been approved by an agent of the insurer who is a resident within the Province and who holds a certificate of authority from the Superintendent. "

(2) Such agent shall "(

a) sign or countersign all policies so issued and make a record of tl}em in books provided for that purpose, and "(

b) when the premium stipulated in the policy, duplicate policy or contract of insurance is paid, receive the commission, or a. part thereof that is not less than one-third of the total com mission paid in respect of the portion of the risk situated in the Province." (

b) Will enable the reference in this subsection to

section 10 of The Corporations Taxation Act to be applied without confusion to. any tax that may be substituted therefor. 17. This new

section clarifies the position of the insurer in the case o~ cancellation of a policy carrying an assignment of refund as IS the case in financed contracts. The new

section is based on the 1956 uniform law revision recommendations.

Section 189 is aluended by striking out subsection (1) and by substituting the following: "189. (1) ~very insurer, immediately upon receipt of a re9-uest , and .In any event not later than sixty days after receIpt of l}otIce of l~ss, shall furnish to the insured or person t? whom the Insurance money is payable, forms upon whIch to make the proof of loss required under the contract." . .

Section 190 is struck out and the following is substItuted: "190. No action l.ies for the recovery of money payable under a contract ~f Insurance until the expiration of sixty days after proof, In accordance with the provisions of the contract, H (

a) of the loss, or " (

b) of the happening of the event upon which the in surance money is to become payable, or of such shorter period as may be fixed by the contract of ins urance." .

Section 191 is struck out and the following is sub stituted: "191. Where there has been imperfect compliance with a condition or term of the contract as to proof of loss to be given by the claimant, and a consequent forfeiture or avoidance of the insurance, in whole or in part, and the court deems it inequitable that the insurance be forfeited or avoided on that ground, the court may relieve against the forfeiture or avoidance on such terms as it deems just.".

Section 200 is amended (

a) by adding immediately after subsection (2) the following new subsection: "(2a) A facsimile signature or countersignature shall be deemed to be compliance with subsection (2) in the case of machine vended policies.", (

b) as to subsection (8) by adding immediately after the words "Thel Corporations Taxation Act" the words "or any provincial tax substituted therefor,". 17. The following new

section is added immediately after

section 202: "202a.

(1) Where an insured assigns the right to re fund of premium that may accrue by reason of the cancel ...

Section 205 [190] reads: "205. In this Part, "(a) "contract" 5 "0) means a contract of insurance against loss of or damage to property in the Province or in transit therefrom or thereto, eaused by fire, lightning or explosion, and "(ii) includes a policy, certificate, interim receipt, renewal receipt or writing evidencing the contract, whether sealed or not, and a binding oral agreement; "(b) "property" includes use and occupancy, rents, profits and charges where these are the subject matter of the insurance." Clause (

a) appears unnecessary in view of proposed

section 206 [191]. Clause (

b) is unnecessary because of the earlier definition of property in pre~:ent

section 2 (51) [2

(53) J.

Section 206 [191] reads: "206. 'rhis Part applies to fire insurance and to any insurer carrying on the business of fire insurance in the Province." This amendment IS designed to carry into effect the purpose of the uniformity revision insofar as it affects the scope of this Part. 20. This

section is designed to define the scope of the peril of fire.

5 lation or termination of a contract of insurance under the terms thereof and notice of the assignment is given by the assignee to the insurer, the insurer ;;hall pay any such re fund to the assignee notwithstanding any condition in the contract, whether prescribed under this Act or not re quiring .the refund to be paid to the insured or to accomp<l n~' any notlce of cancellation or termination to the insured. "

(2) Where the condition in the contract dealing with cancellation or termination by the insurer provides that the refund shall accompany the notice of cancellation or termination, the insurer shall include in the notice a state ment that in lieu of payment of the refund in accordance with the condition the refund is being paid to the assignee under this section.".

Section 205 is repealed.

Section 206 is struck out and the following is sub stituted: "206.

(1) This Part applies to insurance ~gainst lo~s of or damage to property arising fronl the pel'll of fire In any contract made in the Province except, " (a,) insurance falling within the. classe~ of aircraft, automobile boiler and maChInery, Inland trans portation, 'marine, plate glass, sprinkler leakage and theft insurance, " (

b) where the subject matter of the insurance is rents, charges or loss of profits, or " (

c) where the peril of fire is an incidental peril to the coverage provided. "

(2) Notwithstanding subsection .( 1) !his Part .applies to insurance of an automobile as prOVIded In subsectIon (2) of

section 31.". 20. The following new

section is added immediately after

section 206: "206a. Subject to subsection (4) of this.

section and to clause (

a) of subsection (1) of

section 217, In any contract to which this Part applies the contract shall be deemed to cover the insured property, " (

a) against fire (whether resulting fronl ~xplosioll or otherwise) not occasioned by or happenlng through

6 2~. This subsection is incorporated in the new

section 31 [31].

Section 208 [193]. The repeal of this subsection was uni f'ormly recommended at the 1938 Conference of Superintend.ents. It is now required to bring us into uniformity with other provl.n~es and to give relief to those insurers now restricted to wntI.ng p"licies for a maximum term of three years. Uniformity wl~h other classes such as Automobile and Accident and Sickness wIll also be achieved. Subsection (1) reads: "208.

(1) No contract shall be made for a term exceeding three years, but any contract may be renewed from time to time for a further period not exceeding three years by the delivery of a renewal receipt identifying the policy by number, date or otherwise, or by a new premium note."

6 "(

i) its undergoing any plication of heat; process involving the ap- "(ii) riot,. civil comn10thn, war, invasion, act of foreIgn enemy, h?s.tilities (whether war be de ~lared or. not), CIVIl war, rebellion, revolution, InsurrectIOn or military power; "(

b) against ~ightnin.g, but excluding destruction or loss !o electrIcal devICes. or appliances caused by lightn Ing or other electrIcal currents unless fire origin ates o~tside the ariele itself and only for such de structIOn or damage as occurs from such fire' "(c) . , agaInst explosion (not. occasioned by or happening through any of the penIs specified in subclause (ii) of clause (a» of natural, coal or manufactured gas in a building not forming part of a gas works, whether fire ensues therefrom or not. "

(2) Unless otherwise specifically provided therein in any contract to which this Part applies, nuclear chang~ or radioactivity shall not be considered to be a fire or an explosion but this provision shall not be construed so as to exclude loss or damage caused by fire or explosion resulting from nuclear change or radioactivity. "

(3) Where property insured under a contract cover ing at a specified location is necessarily removed to pre vent loss or damage or further loss or damage thereto, that part of the insurance under the contract that exceeds the amount of the insurer's liability for any loss incurred shall, for seven days only or for the unexpired term of the contract if less than seven days, cover the property removed and any property remaining in the original location in the proportions that the value of the property in each of the respective locations bears to the value of the property in them all.

" ( 4 ) Nothing in subsection (1) precludes an. insurer giving more extended insurance against the penIs men tioned therein, but in that case this Part does not apply to the extended insurance. "

(5) An insurer licensed to carryon fire insurance may include in its insurance contracts a clause or endorsement providing that, in the case of livest~ck i~sured against death or injury caused by fire or lIghtnIng, the w?rd "lightning" shall be deemed to include other electrIcal currents." . 21. Subsection (1) of

section 207 is repealed. 22. Subsection (1) of

section 208 is repealed.

Section 209 [1941. Re-enacted as 187 (2a), (see clause 11 of this Bill.) The

section is In substance the present Statutory Condition 2. 24. This is in substance the present Statutory Condition 9 but requires the same notice of cancellation of a policy to a mortgagee as to the insured. The present statutory condition specifies only "reasonable notice".

Section 210 [195], This replaces present

section 210 [195] dealing with statutory conditions. Statutory Condition 1 This is identical with present Statutory Condition 1 except that the words "as to the property in respect of which the misrepresentation or omission is made" have been slightly amended. Statuory Condition 2. This is Statutory Condition 4 (a). Stat utory Condition 4 (

c) and Statutory Condition 3 have been deleted; while Statutory Conditions 4 (

b) and 4 (

d) have been carried into

section 206a. Statutory Condition 3. This, in substance, reproduces present clause (

c) of Statutory Condition 5. The remainder of Statutory Gondition 5 has been deleted. Statutory Condition 4. This reproduces present Statutory Condition 7 without change.

7 .23.

Section 209 is struck out and th f 11 ' , stttuted: e 0 OWIng IS sub- . :'209~ ,After an al?plication for insurance is made if it IS In ~rltIng, any poh~y sent to the insured shall be d~med to b~ In~ended to be In .accordance with the terms of the applIcatIon, unless the Insurer points out in 't' th particula~s wherein it differs from the applicati~r~~ng h' h case the II}sure~ may,. within two weeks after the r:Ce~c t of the notIficatIon, reject the policy.". p 24. Th~ fOllowing new

section is added im d' t 1 after

sectIon 209: me Ia e y '(J2~a.

(1) Where the loss, if any, under a contract has, wIth the consent of th~ insurer, been made payable to a person other than !he Insured, the insurer shall not c3:ncel or a~ter the polIcy to the prejudice of that person WIthout notIce to him. "

(2) Th~ length of and manner of giving the notice un d.er subsectI~n (1) shall be the same as notice of cancella tIon to the Insured under the statutory conditions in the contract." . .

Section 210 is struck out and the following is substItuted: "210.

(1) The conditions set forth in this

section shall be deemed to be part of every contract in force in the Province and shall be printed on every policy with the heading "Statutory Conditions" and no variation or omis sion of or addition to any Statutory Condition shall be binding on the insured. "

(2) In this

section "policy" does not include interim receipts or binders.". Statutory Conditions Misrepresentation 1. If any person applying for insurance falsely describes the property to the preju dice of the insurer, or misrepresents or fraudulently omits to communicate any circumstance which is material to be made known to the insurer in order to enable it to judge of the risk to be undertaken, the contract shall be void as to any property in relation to which the misrepresentation or omission is material. Property 0·£ Others 2.

Unless otherwise specifically stated in the contract, the insurer is not liable for loss or damage to property owned by any person other than the insured, unless the interest of the insured therein is stated in the contract. Chanqe of Interest 3. The insurer shall be liable for, loss or damage occurring after an ~uthorlzed as signment under the Bankruptcy Act or change of tItle by succes sion, by operation of law, or by death, Material Chanqe 4.

Any change material to the risk and within the control and knowledge of the insured shall avoid the contract as to the part affected tI:ereby, unless the change is promptly notified in writin,g to the msurer or its local agent; and the insurer when so notIfied may return,

8 Statutory Condition 5. This is in substance the same as present Statutory Condition 10. Statutory Condition 6. This is similar to present Statutory Condition 15.

8 the unearned portion, if any, of the premium paid and 1 the contract, or may notify the insured in writing that cilnh desires the cont~act to contin~e in force, he must, within' fiftee~ days .of the rec~Ipt of the notIce, pay to the insurer an additional premlUm; .and In default o~f such payment the contract shall no l~mge~ be In force and t~e Insu~er shall return the unearned porbon, If any, of the premlUm paId. Termination of S. (1) ~he insurance may be terminated rnsurance (

a) subject to the statutory provision re- . lating to cases where loss under the contract has, WIth the consent of the insurer been made payable. t.o some pe~son other than the insured, by the in surer gIVIng. to the Ins~red at an~ time fifteen days' notice of cance~lahon by regIstered mall, or five days' notice of cancellatIOn personally delivered, and, if the insurance is on the cas? plan, by refunding the excess of premium actually paId by the Insured beyond the pro rata premium for the expired time; (

b) if on the cash plan, by the insured giving written notice of termination to the insurer, in which case the insurer shall upon surrender of this policy refund the excess of premium actually paid by the insured beyond the customary short rate for the expired time.

(2) Repayment of the excess premium may be made by money, postal or express company money order, or by cheque payable at par.

(3) If the notice is given by registered letter the repayment shall accompany the notice.

(4) The fifteen days mentioned in clause (

a) of sub-paragraph (1) of this condition shall commence to run from the day following the receipt of the registered letter at the post office to which it is addressed. Requirements 6.

(1) Upon the occurrence of any loss After Loss of or damage to the insured property, the insured shall, if such loss or damage is covered by the contract, in addition to observing the requirements of Conditions 9, 10 and 11, (

a) forthwith give notice thereof· in writing to the insurer; (

b) deliver as soon as practicable to the insurer a proof of loss verified by statutory declaration (

i) giving a complete inventory of the destroyed and dam aged property and showing in detail quantities, costs, actual cash value and particulars of amount of loss claimed; (ii) stating when and how the loss occurred, and if caused by fire or explosion due to ignition: how the fire or explosion originated, so far as the msured knows or believes; (iii) stating that the loss did not occur through any ~ilful act or neglect or the procurement, means or conruvance of the insured; (iv) showing the amount of other insurances and the names of other insurers; (

v) showing the interest of the insured and ~f all others in the property with particulars of all hens, encum brances and other charges upon the property; (vi) showing any changes in title, use, occupation, l?cation, possession or exposures of' the property smce the Issue of the contract; (vii) showing the place where the property insured was at the time of loss: (

c) if required to give a complete inv~n.tory of undamaged property and showing in detail quantItIes, cost, actual cash. value;

Statutory Condition 7. This is a reproduction of present Stat utory Condition 16. Statutory Condition 8. This is in substance present Statutory Condition 14 but based upon Automobile Insurance Statutory Condition 11. Statutory Condition 9. This is similar to present Statutory Condition 11. Statutory Condition 10. This is substantially the same as pre sent Statutory Condition 13. Statutory CondWon 11. This replaces present Statutory Con dition 17, adopting appraisal rather than arbitration. Statutory Condition 12. This is identical with present Statutory Consiition 18. Sta~~tory Condition 13. This is identical with present Statutory CongItIon 19, except for extension of times.

9 (

d) if required and if practicable d warehouse receipts and stock list~r~nudcefUbl10?khs. of ~ccount, other voucher "'fi db' r lS InVOlCes and a copy of the ~ri~:~n eporBonstaotfutory dtheclaration, and furnish . any 0 er contract

(2) The eVldence furnished under clauses () d ('

d) f paragraph (1) of this condition shall c an. 0 sub- of loss within the meaning of COndition~ot12b~n~0~~~dered proofs Fraud 7. Any fTaud or wilfully false statement in . a statutory declaration in relation to an of the above partIc.ulars, shall vitiate the claim of the persoK making the declaratIon. W~o may qive 8.

Notice of loss may be given, and proof notice and proof of loss may be. made, by the agent of the in- . . . sure~d named In .the contract in case of ab- sence or InabllIty of tl).e lI?-s.ured ~o glve the notice or make the pr~of, an~ absence o~ mabl.hty bemg satisfactorily accounted for, or m the lIke case, or If ~he msured refuses to do so, by a person to whom any part of the Insurance money is payable. Salvaqe 9.

(1) The. insured, in the event of any loss or damage to any property insured under the contract, shall take all reasonable steps to prevent further damage to any suc~ property so damaged and to prevent damage to other property msured hereunder including, if necessary, its removal to prevent damage or further damage thereto.

(2) The insurer shall contribute pro rata towards any reason ~ble and proper ~xpenses in connection with steps taken by the msured and reqUlred under sub-paragraph (1) of this condition according to the respective interests of the parties. Entry. Control 10.

After any loss or damage to insured Abandonment property, the insurer shall have an immed- iate right of access and entry by accredited ag.ents sufficient to enable them to survey and examine the pro perty, and to make an estimate of the loss or damage, and, after the insured has secured the property, a further right of access and entry sufficient to enable them to make appraisement or particular estimate of the loss or damage, but the insurer shall not be entitled to control or possession of the insured property, and without the consent of the insurer there can be no abandon ment to it of insured property.

Appraisal 11. ( 1) If any difference arises as to the value of the property insured, the property saved or the amount of' the loss, that value and amount shall, whether the right to recover on the contr.a~t is disputed or. not, be ascertained by two competent and dlsmterested appralsers, the insured and the insurer each selecting one, and the two so chosen then selecting a competent and disinterested umpire.

(2) The appraisers together shall then estimate and appraise the loss or damage; stating separately the sound values and dam8:ge, and failing to agree, shall submit their differ,ences. to the umplre; and the finding in writing of any two shall determme the value of the property insured, the property saved and the amount of .loss.

(3) The parties thereto shall pay the appraisers respectIvely selected by them, and shall bear equally the expense of the ap praisal and umpire. When Loss Payable 12. The loss shall be payable within sixty days after completion of the proof of loss, unless the contract provides f'Or a shorter period. Replacement 13.

(1) The insurer, in.stead of making payment, may repair, reb.Ulld, o~ reJ?lace ~he property damaged or lost, giving w~itten notIce of Its mtentIOn so to do within thirty days after recelpt of the proofs of loss.

10 Statutory Condition 14. This is identical with present Statutory Condition 20. Statutory Condition 15. This is identical with present Statutory Condition 23 except the word "head" has been deleted before "office", 26. Sections 211 and 212 [196 and 197]. This

section replaces sections 211 and 212 but in a very much abbreviated form. 2,11.

Section 213 rI97a]. This proposed uniform revision elimi nates the need for the present Statutory Condition 8. Subsection (4) is new, intended to provide a method of ascertaining rateable proportions when there are deductibles. In v1ew of the proposed revision of

section 206 [1911, subsection (5) of the present

section 213 [197a] is unnecessary.

(2) In that event the insurer shall com '. or replace the property within forty g;,eencde to sOfrtepaIr, r~bUlld, the proofs of 10 d h 11 - ays a er rec.eIpt of ss, an s a thereafter proceed . th 11 d ' , gence to the completion thereof. WI a ue dllI- Action 14 Eve t' '. . . ry ac IOn or proceedIng agaInst the Insurer for the recovery of an l' d or by virtue ~f. this contract shall be absolutely ba~raI:r unl er commenced WIthIn one year next after the loss d e un ess or amage occurs. Notice 15.

(1) A:~lY written notice to the insurer t . may be ~elIvered at, or sent by registered pos t~, the chIef agency or OffICE7 of the insurer in the Province or delIvered or sent to any authOrIzed agent of the insurer the .

(2) Written notice may be given to the insured bItt rem. sonapy delivered to ?im or by registered letter addr~ss~d et~ ~~~ at hIS latest post offIce address notified to the insurer or h n~ address is noti~ed and the addres.s is not known, addr~s~d e~~ hlI~ at the post. offIce of the agency, If any from which th li-cahon was receIVed. ,e app . 2~.

Secti?ns 211 and 212 are struck out and the followIng IS substItuted: "211. ~ ~ont~act containing a co-insurance average, aver~ge dlst~IbutIon or other clause that requires or may req.ulre the Insured to contribute to any loss shall have prInted or stamped upon its face in red ink the words: "This policy contains a clause which may limit the amount payable", and unless those words are so printed or stamped the clause is not binding upon the insured.".

Section 213 is struck out and the following is sub stituted: "213.

(1) Where, on the happening of any loss or dam age to property insured, there is in force more than one contract covering the same interest, the insurers under the respective contracts shall each be liable to the insured for its rateable proportion of the loss unless it is otherwise ex pressly agreed in writing between the insurers. "

(2) For the purpose of subsection (1), a contract shall be deemed to be in force notwithstanding any term thereof that the policy shall not cover, come into force, attach, or become insurance with respect to the property until after full or partial payment of any loss under any other policy. "

(3) Nothing in subsection (1) affects the validity of any divisions of the sum insured into separate items, or any limits of insurance on specified property, or .a?y c~au.se referred to in

section 211 or any contract condItIon lImIt ing or prohibiting the having or placing of other insurance. "

(4) Nothing in subsection (1) affects the operation of any deductible clause and "(

a) where one contract contains a deductible the pro 'rata proportion of the insurer under that contract shall be first ascertained without regar~ to the clause and then the clause shall be applIed only to affect the amount of recovery under that con- tract; and

Section 214 [198] reads: "214. No red ink shall be used on the face of a policy except for the name, address and emblem of the insurer, the policy number and for the purposes mentioned in this Act." This

section is no longer considered necessary.

Section 215 [199] with slight verbal change only. 30. Subsections (1) and (2) of

section 217 [201 (1)]. (

a) The new subsection (1) of

section 217 retains the basic provisions of the present

section although clause (

a) is new. This has been inserted because the Fire Insurance Part, as amended by this Bill, in terms has a broader application than the existing

Part in that it covers the peril of fire in any contract other than those specifically excluded. (

b) This change is necessary because of' the renumbering of the statutory conditions. a~. Subsection (1) follows present Statutory Condition 22 and is comparable to

section 289 [267] of the Automobile Insurance ~art. Present Statutory Condition 22 has been eliminated. Subsec tIon (2) follows Automobile Insurance Statutory Condition 8.

11 "(

b) h th were more an one contract contains a deductible the pro 'rata proportion of the insurers under those contracts shall be first ascertained without regard to t~e deductible clauses and then the highest de ductIble shall be pro 1'atcd among the insurers with deductibles and these pro rated amounts shall affect the amount of recovery under those contracts . . "(~) Not,,:ithstanding subsection (1), insurance on IdentIfied artIcles shall be a first loss insurance as against all other insurance.".

Section 214 is repealed.

Section 215 is struck out and the following is sub stituted: "215. Where there has been imperfect compliance with a statutory condition as to the proof of loss to be given by the insured and a consequent forfeiture or avoidance of the insurance, in whole or in part, and the court deems it inequitable that the insurance should be forfeited or avoided on that ground, the court may relieve against the forfeiture or avoidance on such terms as seem just.".

Section 217 is amended (

a) by striking out subsections (1) and (2) and by substituting the following: "217.

(1) Where a contract " (

a) excludes any loss that would otherwise fall within the coverage prescribed by

section 206a, or " (

b) contains any stipulation, condition or warranty that is or may be material to the risk including, but not restricted to, a provision in respect to the use, condition, location or maintenance of the insured property, the exclusion, stipulation, condition or warranty shall not be binding upon the insured if it is held to be unjust or unreasonable by the court before which a question relating thereto is t~ied.", (

b) as to subsection (3) by striking out the words and figure "by arbitration under statutory con dition 17" and by substituting the words and figure "under statutory condition 11". 31. The following new sections are added immediately after

section 217: "217a.

(1) No term or condition of a contract ~hall be deemed to be waived by the insurer in .whole. ?l' In .part, unless the waiver is clearly expressed In WrItIng slgned by a person authorized for that purpose by the insurer.

Section 217b replaces Statutory Condition 24 which, in the case of Globe & Rutgers vs. Truedall, 60 O.L.R. 227 was held to be of no value whatsoever. It follows

section 290 [268] in the Automobile Insurance Part.

Section 283 1262]. See note after clause 34 of this Bill. Subsection (1) begins: "Subject to the provisions of subsection (2) and (3) of this

section and of the provisions of sections 284 and 303 ........ ".

Section 297 [275]. This amendment will require the in crease of the minimum liability coverage for automobile policies from $5,000, $10,000 and $1,000 to $10,000, $20,000 and $2,000.

Section 301 [277], This amendment is to revise and consoli .. date the different sections of the Automobile Part (subsections (2) al!d (3) of

section 283 [262] and

section 301 [277]) which deal wIth approval of special forms by the Superintendent, and was recommended by the 1956 Conference of Superintendents of Insurance.

12 "

(2) Ne~ther the insurer nor the insured shall be de d to have !Valved any term. or condition of a contract b;r::~y act. relatIng to the a~praIsal of the amount of loss or to the del,lvery and comp1ebo,n of proofs, or to the investigation or adjustment of any claIm under the contract. "21?"b. ~1). ,The insurer, upon making any payment or assum,Ing lIabIlIty therefor, under a contract of fire insur anc~, IS subrogated to all nghts of recovery of the insured agal,nst any person, and may bring action in the name of the Insured to enforce such rights, "

(2) Where the n~t amount r,ecovered, after deducting !he cos~s of recovery IS not suffiCIent to provide a complete IndemnIty, ~or the loss or d~mage suffered, that amount shall be. dIvI~ed be!ween the Insurer and the insured in the proportIons In WhIch the loss or damage has been borne by them respectively,".

Section 283 is amended (

a) as to subsection (1) by striking out the words and figures "subsections (2) and (3) of this

section and the provisions of

section 284" and by substi tuting the words and figures "sections 284, 301", (

b) by striking out subsections (2) and (3),

Section 297 is struck out and the following is sub stituted: "297.

(1) Every owner's policy and driver's policy shall, "(

a) in case of bodily injury or death, insure to the limit of at least ten thousand dollars for loss or damage resulting from bodily injury to or the death of any one person, and, subject to such limit for anyone person so injured or killed, to the limit of at least twenty thousand dollars for bodily injury to or the death of two or more persons in anyone accident, or " (

b) in case of property damage, insure to the limit of at least two thousand dollars for damage to property resulting from anyone accident, "

(2) The limits specified in subsection (1) are exclusive of interest and costs,",

Section 301 is struck out and the following is sub stituted: "301.

(1) Where any provisions of this Par:t, incl~ding any Statutory Condition, is wholly or partl~ Inapph~a,ble by reason of the requirements of any Act or, In ~he opInIOn of the Superintendent is unsuitable to any speCIal form of contract, he may approve a form of policy sufficient or appropriate to insure the risks required or proposed to be insured, "

(2) Where a form of policy is so approved, the S~p.er intendent shall specify in writing ~he Statutory CondItion or other provision to which subsectIon (1) refers and send a copy of the writing to the insurer; and thereafter ~he contract in the form so approved shall have effect a~cord!ng to its terms notwithstanding that those terms conflIct WIth, or omit, the' condition or other provision so specified.".

13 35. New Accident and Sickness Insurance Part added. New 306. (a) "contract". The purpose of this definition is to save repeating in the balance of the Part a description of the type of contract governed by the Part. The terms "accident insurance" and "sickness insurance" are defined in

section 2 [2]. (b) "creditor's group accident insurance" and "creditor's group sickness insurance". These terms are used in the definition of "group accident insurance" and "group sickness insurance", post. As provided in

section 307 (3) [283 (3)], certain sections of this Part are made applicable to the latter two types of group insur ance. These sections, which are derived from the Life Insurance Part of the Act, are not appropriate to creditor's group insurance, where, as the above definition indicates, a creditor insures his debtors and thus payment of the benefits is made to him. The above definition follows closely the definition of "creditor's group nfe insurance" in the Life Part. (c) "group accident insurance" and "group sickness insurance".

This defiinition follows closely the definition of "group life insur ance" in the Life Part. This wording is somewhat broader than the description of the term in present

section 306 (3) [282

(3) J. By

section 307 (3), post, certain sections of the Part are made applicable to group insurance. (d) "insured". This definition and the definition of "person insured" should be read together. Frequently the "insured" and the "person insured" are the same person but where a contract insures more than one person the use of these terms in the balance of this Part makes it possible to distinguish between the provisions applicable to each. (e) "person". This definition is similar to the definition of "person" in the Life Part. (f) "person insured". See note to definition of "insured", supra.

Section 306 [282]. Present

section 306 (1) [282

(1) J has been clarified . . (2). ~he exceptions in present

section 306 (2) L282 (2)] for dIsabIlity and double indemnity insurance are simplified by a reference to these classes of insurance as defined in

section 2 [2]. Present

section 306 (3) [282

(3) J is dealt with in the

definitions of "group accident insurance" and "group sickness insurance" and in subsection (3) hereof. Clause (

e) replaces present subsection (4) of

section 306 [282]. Present

section 307 [283] is no longer necessary in view of the addition in this revision of sections 308, 315 to 319, 320e and 320j.

(3) Present

section 306 (3) [282 (3)] provides that this Part, except present

section 320 l295], shall not apply to group insur ancl·. It also statf::s that certain sections of the Life Part shall apply to. tlllS class of Insurance. These sections are now reproduced in thls Part and apply to group insurance. Also new sections 320e, 320f and 320g are made applicable to group insurance . .

Section 308: This

section is similar to

section 222 [205] of the LIfe Part whlch presently applies by cross-reference.

13 35.

Part VIII, sections 306 to 320 inclusive, is struck out and the following is substituted: "PART VIII "ACCIDENT AND SICKNESS INSURANCE "Interpretation "306.

In this Part, " (a) "contract" means a contract of accident insurance or of sickness insurance or of both' "( b) "creditor's group accident insura;ce" and "credit or'~ group sickness insurance" mean, respectively, accIdent Insurance and sickness insurance effected by a creditor whereby the lives or well-being or the lives and well-being of a number of his debtors are insured severally under a single contract; "( c) "group accident insurance" and "group sickness insurance" mean, respectively, accident insurance and sickness insurance, other than creditor's group accident insurance and creditor's group sickness insurance, whereby the lives or well-being or the lives and well-being of a number of persons are in sured severally under a single contract between an insurer and an employer or other person con tracting with the insurer; "( d) "insured" means a person who makes a contract with an insurer; ." (e) "person" includes a firm, partnership or corpora tion, an unincorporated society or association, and a trade union; "(I) "person insured" means a person in respect of an accident to whom, or in respect of whose sickness, benefits are payable under a contract.

U Application of Part "307.

(1) This Part applies to accident insl;lrance and to sickness insurance and to an insurer carrYIng on the business of accident insurance or sickness insurance or both. "

(2) This Part does not apply to "(

a) creditor's group accident insurance, " (

b) creditor's group sickness insurance, " (

c) disability insurance, " (

d) double indemnity insurance, or "(

e) insurance provided under

section 299. "

(3) This Part, except sections 308, 316, 317, 3~Oc, 32pe, 3201, 320g and 320j, does not apply to group aCCIdent In- surance or group sickness insurance. liThe Contract of Insurance "308. A contract shall be evidenced by an instrument in writing called, in this Part, a policy.

Section 309. This

section is the same as present

section 310 [286], except that references to the address, occupation and business of the insured have been omitted as being unnecessary. This type of information frequently becomes obsolete after the policy has been issued. Present

section 311 [287] is omitted because it simply permits one of several possible methods of renewing a contract.

Section 310. This new

section requires that exceptions and reductions be clearly brought to the notice of the insured. In regard to subsection (4) fraternal contracts are presently exempted entirely from the Accident and Sickness Insurance Part by

section 306 (1) [282 (1)]. This exemption is now repealed and the Part applies to fraternal insurance except that it has been necessary to make special provision for these contracts in this

section and in sections 312 and 314. These special provisions are similar to the special provisions relating to fraternal insurance in the Life Part.

Section 311. This replaces present

section 312 [288] dealing with statutory conditions. Statutory Condition 1. Paragraph (1) is similar to present Statutory Condition 1 except that the cross-reference to Statutory Condition 3 has been deleted as unnecessary. Paragraph (2) is the same as present Statutory Condition 20. Statutory Condition 2. This is similar to present Statutory Con dition 2 except that the first part of that condition has been trans ferred to

section 320f, post. Statutory Condition 3. This condition is similar in purpose to p.rese~t Statutory Conditions 3 and 4 but the wording has been slmpli~ed and the reference to premium rates, etc., filed with the ~uperllltend~nt of Insurance has been dropped because such filing IS not reqUIred.

"3~9. The policy shall contain the name and address of the Insurer, the name. of the insured, the name of the pers0!l to whom. the Insurance money is payable, the premIum for the Ins~rance, the indemnity for which the InS~lrer may ?e~o~e ~Iable, the event on the happening of WhICh such habIhty IS to accrue and the term of the insurance. "~10.

(1) Subject to subs~c~ions (2), (3) and (4) of this sectIon, to ~he statutory ~ondItIons referred to in

section 311 and to

sectIon 320d, the Insurer shall set forth in the policy every exception or reduction affecting the amount payable under the contract, either in the provision affected by the exception or reduction or under a heading such as' "Ex ceptions" or "Reductions". "

(2) Where the exception or reduction affects only one provision in the policy it shall be set forth in that pro vision. "

(3) Where the exception or reduction is contained in an endorsement, insertion or rider, the endorsement, in sertion or rider shall, unless it affects all amounts payable under the contract, make reference to the provisions in the policy affected by the exception or reduction. "( 4) This

section does not apply to a policy issued by a fraternal society. "311. Subject to

section 312. the conditions set forth in this

section shall be deemed to be part of every contract and shall be printed on every policy with the heading "Statutory Conditions". STATUTORY CONDITIONS 1.

(1) The Contract This policy, including the endorsements, insertions or riders, if any, and the ap plication for the contract if attached to the policy, constitutes the entire contract and no agent has authority to change the contract or waive any of its provisions.

(2) Waiver The insurer shall be deemed not to have waived any condition of this contract, either in whole or in part, unless the waiver is clearly expressed in writing signed by the insurer. 2. Material Facts No statement made by the insured on his application for this contract may be used in defence of a claim under, or to avoid, this contract unless it is contained in the written application for the contr~ct and ~nless a copy of the application, or sucl?- part th~reof as IS materIal to the contract, is endorsed upon, Inserted In or attached to the policy when issued. 3. (

l) Changes in If, after this policy is issued, tpe p.erson Occupation insured engages for compensatIOn. In an occupation that is classifi~d by the ~ns1f~er as more hazardous than that stated in this polIcy, the. lIabIlI~y under this contract is limited to the amount that the pr~mIUm paId would have purchased for the mor~ hazardous oc~upatIOn a~cord ing to the limits, classifi~ation of rIsks an? premIUm rates !n use by the insurer at the tIme the person Insured engaged In the more hazardous occupation.

(2) If the person insured changes his. occupation ~rom that stated in this policy to an occupati~:m class~ed l?~ the mS';1rer as less hazardous and so advises the msurer m wntmg, the msurer shall either (

a) reduce the premium rate, or

15 Statutory Condition 4. This condition replaces present Statutory Condition 6. It has been reworded and, in particular, specific refer ence is made to the types of contracts to be taken into account. Statutory Condition 5. Present Statutory Conditions 7 and 10 have been combined and somewhat shortened without change in their effect. Statutory Condition 6. The substance of present Statutory Conditions 8, 9 and 11 has been combined in one condition. Statutory Condition 7. The words at the beginning of para graph (1) include the SUbstance of present Statutory Condition 16.

TJ:1~ balance of the paragraph is the same as present Statutory CondltIon 12 except that the proviso to present clause (

a) now aPI?ears as new paragraph (2) and is applicable to both notice of claIm and proof of claim. A one-year limitation on late filings has been added.

15 (

b) issue a policy for the unexpired term of this contract at the lower r:ate of premium applicable to the less hazardous occupation, according to. the limits, classification of risks and premium rates ~sed by t~e msurer at the date of receipt of advice of the change m occupation, and ~hal1 refur;td to the insured the amount by which the unearned premmm on thIS contract exceeds the premium at the lower rate for the unexpired term. 4.

Relation of Ellrninqs to Insurance Where the benefits for loss of time pay able hereunder, either alone or together with benefits for loss of time under an- . . other contr3:ct, including a contr:lct of group accIdent msurance or group SIckness insurance or of both and a life insurance contract providing disability insurance, exceed the money value of the time of the person insured the insurer is liable only for that proportion of the benefits for'loss of time stated in this policy that the money value of the time of the per son insured bears to the aggregate of the benefits for loss of time pa~able und~r all such contracts and the excess premium, if any, paId by the msured shall be returned to him by the inSUrer. 5.

Termination by Insured The insured may terminate the con tract at any time by giving written notice of termination to the insurer by registered mail to its head office or chief agency in the Province or by de livery thereof to an authorized agent of the insurer in the Pro vince and the insurer shall, upon surrender of this policy, refund the amount of premium paid in excess of the short rate premium for the expired time according to the table in use by the insurer at the time of termination. 6.

(1) Termination by The insurer may determine the con- Insurer tract at any time by giving written notice of termination to the insured and by re funding concurrently with the giving of notice the amount of premium paid in excess of the pro rata premium for the expired time.

(2) The notice of termination may be delivered to the insured, or it may be sent by registered mail to the latest address of' the insured on the records of the insurer.

(3) Where the notice of termination is deliver:ed to the i~ sured, five days' notice of termination. shall be !fIVe~; where It is mailed to the insured, ten days' notIce of termmatlOn shall be given and the ten days shall beg~n on th~ d~y" following the arrival of the notice at the post offIce to WhIch it IS addressed. 7. (

l) Notice and Proof of Claim The insured or his agent, or a bene ficiary entitled to make a claim or his agent, shall (

a) give written notice of claim to the insurer. . (

i) by delivery thereof, or by sending it by rE;gIstered. mall, to the head office or chief agency of the msurer In the province, or (ii) by deliv.ery there.of to an authorized agent of the in surer in the provmce, not later than thirty days from the dat~ of the accident or the beginning of the disability due to slckness, (

b) within ninety days from the date of' ~he accident or ~he be ginning of the disability due to SIckness for WhICh t,he claim is made, furnis.h to. the ins~rer such proof of claIm as is reasonably pOSSIble m. the CIrcumstances of the .hap pening of the accident or SIckness and the loss occasIOned thereby, and (

c) if so required by the insurer, furnish .a certificate a~. t~ l~e cause and nature of the accident or SIckness for w IC e

16 Statutory Condition 8. This condition is similar in purpose to present Statutory Condition 13 but the wording has been simplified. Statutory Condition 9. This condition is the same as present Statutory Condition 14. Present Statutory Condition 15 has been deleted as unnecessary. Statutory Condition 10. This condition is the same as present Statutory Condition 17 except that the expression "other than benefits for loss of time" has been used for uniformity with other statutory conditions. Statutory Condition 11.

This condition is similar in purpose to present Statutory Condition 18 but the wording has been simpli fied. Statutory Condition 12. This condition is the same as present Statutory Condition 21 except that the limitation period is stated in the negative.

Section 312. This

section replaces present

section 313 [289], 314 [290], 315 [2911 and 318 [293] and provides a greater degree of flexibility in the use of statutory conditions. Subsection (1) is designed to permit, for instance, the omission of Statutory Condition 11 in a hospital expense policy that does not provide loss of time benefits . . Subsection (2) ~ould permit simplifying a policy by the omis SIon of the condItIons referred to therein in cases where the insurer is prepared to waive the subject matter of these conditions.

Subsection (3) permits the omission of all reference to termi nation of the contract where the insurer does not wish to include the right to terminate. Sl;lbsection (4) permits flexibility in the named conditions where the Insured and beneficiary are not thereby prejudiced.

16 claim is made and as to the duration of th d' bTt ~~~~~~ i~rf~ paro~~~~~al practitioner le:ali;a ~~arifi:dS~~

(2) FaUure to Give Failure to give noti' f 1 ' . Notice or Proof proof of claim WI'thl'ncetho ct.alm or fur~llsh . , e lme prescrIbed d t h '- . ,In thIS statut?ry condition will not invali-a e t e claIm If tl,le nohce ,or proof IS given or furnished as soon tahS redaste0nafbltYh POSSl!>dle tand m no eyen~ later than one year from ,e a 0 ,e ,ac~1 en or the begmnmg of the disability due to sl,ckness ,and If It 1~ shown that it was not reasonably possible to gIve notice or furmsh proof within the time so prescribed, 8.

Insurer to Furnish The insurer shall furnish forms for Forms for Proof proo,f ,of clai~ within fifteen days after of Claim recelvmg notIce of claim but where the . . claimant has not received the forms within that bme he may submIt .his proof of claim in the form of a written statem.e~t of ~he happenm~ and character of the accident or sick ness glvmg rIse to the claIm and of the extent of the loss. 9.

Riqht. of . ~he insurer has the right, and the Examlnaticm. claImant shall afford to the insurer an op- . portuni ty, to examine the person of the person .msured when ~nd as o~ten as it may reasonably require while the claIm hereunder IS pendmg, and also, in the case of the death of the person insured to make an autopsy subject to any law of the province relating to autopsies. 10. When Moneys Payable Other than for Loss of Time All moneys payable under this contract other than benefits for loss of time shall be paid by the insurer within sixty days af·ter it has received proof of claim. 11.

When Loss of Time Benefits Payable The initial benefits for loss of time shall be paid by the insurer within thirty days after it has received proof of claim, and payments shall be made thereafter within each succeeding sixty-day period while the insurer remains liable for the pay ments if the insured, whenever required to do so, furnishes prior to payment proof of continuing disability, 12. LimitaUcm. An action or proceeding against the in- of Actions surer for the recovery of a claim under this contract shall not be begun after one year from the date on which the cause of action arose, "312.

(1) Where a statutory condition is not applicable to the benefits provided by the contract it may be omitted from the policy or varied so that it will be applicable. II

(2) Statutory Conditions 3, 4 and 9 may. be omitted from the policy if the contract does not cont~In any pro visions respecting the matters dealt with thereIn. "

(3) Statutory Conditions 5 and 6 may be ?mitted from the policy if the contract does not provide that It may be ter minated by the insurer. "

(4) Statutory Conditions 3, 4, 5, 6 and 9, and Statutory Condition 7 except, in policies providing benefits for loss of time, clauses (a~ and (

b) of paragrap~ ~1) thereof, may be varied but If by reaso~ of the VarIatlO!l the con tract is less favourable to the Insured, person Insured or

17 S.ubsection

(5) LJermi.ts a degree of leeway, again in favour of the insured and benefidary, in the time periods prescribed in Statutory Conditions 10, 11 and 12. Subsection (6) requires that titles of statutory conditions be printed in the policy but permits the omission. of the numbers of the conditions in order to avoid confusion where some of the conditions have been omitted pursuant to this section. Subsection (7) contains special adaptations f'or fraternal insur ance. Other changes relating to fTaternals are in sections 310 and

Section 313. This is the same as present

section 316 [292] with the addition of a reference to

section 446 [421].

Section 314. This

section is a revision of present sections 308 l284J and 309 [285]. Three minor changes have been made: 1.

Section 309 (1) [285 (1) 1 has been rearranged. 2. In

section 309 (1) [285 (2) 1 the words "or a part thereof" have been added after the word "premium" in the first line and the words "is not paid" added after the words "promissory note" in the third line. 3. Subsection (4) has been added.

17 ben~fidi~}{ thand'ti~ WOlhlld be if the condition had not been var.Ie '. econ I I~n s 3;1l b~ deemed to be included in the polIcy In the form In whICh It appears in

section 311. "( 5) . Statutory ~?nditions ~O and 11 may be varied by shortenIng the. ~eI IOds of hme prescribed therein and Sta!utory yOnchtIOn ~2 may be varied by lengthening the perIOd of bme prescrIbed therein. "(6). The titl~ of a statu.tory condition shall be repro duced In the polIcy along wIth the statutory condition but the number of a statutory condition may be omitted. ".

(7) In the case of a contract made by a fraternal SOCIety " (

a) the. fol.lowing pro~ision shall be printed on every polIcy In substItutIon for paragraph (1) of Statu tory Condition 1 in

section 311: "1.

(1) This policy, the Act or instrument of incorporation of the insurer, its constitution, by laws and rules, and the amendments made from time to time to its constitution, by-laws or rules, the application for the contract and the medical state ment of the applicant constitute the entire contract and no agent has authority to change the contract or waive any of its provisions." "(

b) Statutory Condition 5 in

section 311 shall not be printed on the policy. "313. Where a policy of accident insurance is issued through the agency of a transportation corporation that holds a licence issued under sections 446 and 448, the statutory conditions set out in

section 311 need not be printed on the policy if the policy contains the following notice printed in conspicuous type: "N otwithstanding any other provision herein contained this contract is subject to the statutory conditions respecting contracts of accident in- surance." "314.

(1) Where a policy is delivered the contract is .as binding on the insurer as if the premium had been paId, although it has not in fact been paid, and al~hough de livered by an officer or agent of the insurer who dId not have authority to deliver it. "

(2) The insurer may deduct the u~paid premium from the amount for which it may become lIable under the con tract or may sue the insured therefor. "

(3) Where the premium or a part thereof i~ paid by. a cheque or a promissory note and the cheque IS not. paId on presentation or the promissory note IS n?t paId at maturity the contrract is voidable at the optIOn of the insurer. "( 4) This

section does not apply to a contract made by a fraternal society.

Section 315. This

section and sections 316 to 319 are adapta tions of sections 237 [218] to 241 [222] of the Life Part now applic able to accident and sickness insurance by cross-reference. No changes have been made except

(1) The expression "life and well-being" is used instead of "life", and ! !

(2) A new subsection (2) has been added to

section

Section 316. See note to

section

Section 317. New subsection (2) has been added to make it clear that a group contract is not void for lack of insurable interest if the contract provides benefits solely f'Or the persons insured in the group.

Section 318. See note to

section

Section 319. See note to

section 315.

18 "Insurable Interest . "315. Ever~ person has an insurable interest in his own hfe and well-belng. . "316;, Without restricting the meaning that "insurable ln~rest now: has In law, each of the following persons has an Insurable Interest: " (

a) a parent in the life and well-being of his child under twenty-five years of age; " (

b) a husband in the life and well-being of his wife; " (

c) a wife in the life and well-being of her husband; " (

d) one person in the life and well-being of another upon whom he is wholly or in part dependent for support or education, or from whom he is receiving support or education ; " (

e) a corporation or other person in the life and well being of its or his officer or employee; "(/) a person who has a pecuniary interest in the dura tion of the life and continued well-being of another person, in the life and well-being of that person. "317.

(1) A contract is void, if, at the time at which it would otherwise take effect and be binding, the insured has no insurable interest in the person insured. "

(2) Notwithstanding subsection (1), a contract of group accident insurance or of group sickness insurance or of both is valid if it provides benefits solely for the persons insured under the contract. "318. Where the insured has at the time at which the contract takes effect an insurable interest in the person insured, it is not necessary for the validity of the contract or an assignment thereof that a beneficiary, or a person claiming under an assignment, or by will or by succession, have an insurable interest. IIPolicies on the Lives of Minors Cl319. A minor, after attaining the age of fifteen years, has the capacity of a person of full age, " (

a) to effect a contract on his own life or well-being and to deal with the contract, " (

b) to deal with a contract on his 0.w~ life or well being effected by him before attaInIng the age of fifteen years, "(

c) to deal with his interest in a contract effected on his life or well-being by another, whether effected before or after the minor attained the age of fifteen years, and "(

d) if married to effect a contract on the life or well being of his spouse or of his children, or of both, and to deal with the contract.

Section 320. This

section is similar to the first part of present Statutory Condition

Section 320a. New subsection (1) makes innocent misstate ments, except those relating to age, incontestable after the policy has been in force two years. Subsection (2) is necessary to except from the operation of subsection (1) those cases where a claim made after the expiry of the contestable period actually arose from a loss incurred or a disability beginning within that period.

Section 320b. This new

section provides that pre-existing con ditions will not affect a claim unless specifically excluded from the policy (

a) if the loss occurs after a period of two years' cover, or (

b) at any time if the pre-existing condition was disclosed by the insured on his application. Secti~m .320c. This new

section provides for the appointment of benefi~lanes of an accidental death benefit and for a direct right of actIOn by such a beneficiary against the insurer.

19 "Misrepresentation and Non-disclosure ."3~O.

The statements made by the insured in his ap plIcatIon f~r the contract are, in the absence of fraud representatIOns and not vvarranties. ' "320a. (~) Ex.cept as provided in SUbsection (2), after a contract, lnclud!ng renewals thereof, has been in force for two years ~lth respect to a person insured, every statement made In the wrItten application in respect of that person, other than a fraudulent statement or a statement ~rroneous as to age, shall be deemed to be true and is Incontestable. :' ~2) Wh.ere. a claim arises from a loss incurred or a dis abIlIty begInnIng. before a contract, including renewals thereof,. has been In force for two years with respect to the person In respect of whom the claim is made subsection (1) does not apply to that claim. ' "320b.

Where a person insured suffers or has suffered from a disease or physical condition that existed prior to the date the contract came into force with respect to that person and the disease or physical condition is not specifi cally excluded from the insurance, " (

a) the prior existence of the disease or physical condi tion is not, except in the case of fraud, available as a defence against liability, in whole or in part for a loss incurred or a disability beginning after the contract, including renewals thereof, has been in force for two years with respect to that person, and "(

b) the existence of the disease or physical condition is not, except in the case of fraud, available as a de fence against liability, in whole or in part, if the disease or physical condition was disclosed in the written application for the contract. "Beneficiaries "320c.

(1) Where insurance money is payable upon death by accident, the insured, or in the case !If gro~p accident insurance, the person insured, may deSIgnate In writing a beneficiary to receive the ~nsur~~ce money. or part thereof and may alter or revoke In wrIting any prIor designation. "

(2) If the beneficiary is not living at the ti~e of the death of the person insured, the insurance money IS pa~able to the insured or his estate or in the case of group accId~nt insurance the estate of the person insured, unless the ~n strument by which the beneficiary is designated otherWIse provides. "

(3) A beneficiary designated pursuant to subsection (1) may upon the death of the person insured enforce for his own benefit the payment of in~uranc~ money paya?le to him and payment to the benefiCIary dIscharges. the In surer, but' the insurer may set up any defence that It could

Section 320d. This new

section lays down rules appropriate to accident and sickness insurance respecting misstatements of age.

Section 320e. This

section is an adaptation of present

section 269 [248] of the Life Part now applicable to accident and sickness insurance by cross-reference.

Section 320f. This

section is an adaptation of

section 274 (1) and (3) [253 (1) and (3)] and

section 276 [255] of the Life Part.

Section 320g. This new

section is parallel to

section 223 (3) [206 (2)] of the Life Part. The

section will enable insurers to pay numerous small amounts to widows and others where the estate of the deceased is too small to warrant the cost of taking out letters of administration or probate. S~ion 320h. This new

section prevents the glvmg of undue promme?c~ to the benefit provisions of' a policy as compared to lts restrlctIons.

20 have set up against. the in.sured, or the person insured in the case o.f grou~ accIdent Insurance, or the personal representatIve of eIther of them. "Miscellaneous "32~.

(1) Subject to subsection (2), if the age of the person Insured has been n1isstated the amounts payable under the contr~ct are those that the premium paid would have purchased If the correct age had been stated. "

(2) Where the age of the person insured affects the commencement or termination of the insurance, the true age governs. "320e. Where a contract provides for the payment of moneys upon the. death by accident of the person insured and th~ person. Insured and. a beneficiary perish in the same dIsaster, It shall be pnma facie presumed that the beneficiary died first. "320f.

(1) Where the insurer admits liability for the insurance money or any part thereof, and it appears to the insurer that "(

a) there are adverse claimants, " (

b) the place of abode of a person entitled is unknown, or " (

c) there is no person capable of giving and authorized to give a valid discharge, who is willing to do so, the insurer may apply ex parte to the court for an order for payment of the money into court, and the court may upon such notice, if any, as it thinks necessary make an order accordingly. "

(2) The court may fix and ascertain without taxation the costs incurred upon or in connection with any applica tion or order made under subsection (1) and may order the costs to be paid out of the insurance money or by the insurer or otherwise as seems just. "

(3) A payment made pursuant to an order under sub section (1) discharges the insurer to the extent of the pay ment. "320g. Where insurance money is payable to a bene ficiary or to the estate of the insured or of the pe~son insured, the insurer may, if the contract so provIdes, pay an amount not exceeding two thousand dollars to "(

a) a relative by blood or connection by marriage of the insured or of the person insured, or "(

b) any person appearing to the insur~r to.be equitably entitled thereto by reason of haVIng Incurred ex pense for the maintenance, med.ical attendance or burial of the insured or person Insured or to have a claim against the estate of the insured or of the person insured in relation thereto. "320h .. The insurer shall not, in the policy: .give undue prominence to any provision or statutory C?':1dItIon as com pared to other provisions or statutory condItIons, unless the

Section 320i. This

section is the same as present

section 320 [295J except that the words "after the maturity of the contract" have been changed to "with respect to the loss insured against". Also, a reference is added to the court before which a question is tried.

Section 320j. This

section is parallel to

section 236 [217] of the Life Part, now applicable by cross-reference.

Section 398 r373J. See note after clause 4 of this Bill. 37. This is identical with present

section 317 [292aJ which is removed from

Part VIII, Accident and Sickness Insurance, and placed in

Part XVI, Agents, Brokers and Adjusters.

21 effect of that l?rovision or statutory condition is to in crease the premIum or decrease the benefits otherwise pro vided for in the policy, "3.20i.

Where, t,here has been imperfect compliance with a statu~ory condItIon as to the proof of loss to be given by the claimant or as to any matter or thing to be done or omitted by t,he insured or claimant with respect to the loss insured agaInst, and a consequent forfeiture or avoidance of the insurance in whole or in part, and a court before which a question relating thereto is tried deems it inequit able that the insurance should be forfeited or avoided on that ground, the court may relieve against the forfeiture or avoidance on such terms as it deems just, "320j.

No officer, agent, employee, or servant of the insurer or any person soliciting accident insurance or sick ness insurance or both, whether an agent of the insurer or not, shall, to the prejUdice of the insured or of the person insured, be deemed to be for any purpose whatever the agent of the insured or of the person insured in respect of any question arising out of the contract,", ,36.

Section 398 is struck out and the following is sub stituted: "398. No fraternal society other than a Canadian registered company shall undertake insurance unless "(

a) it was licensed in Alberta prior to the thirtieth day of June, 1951, and " (

b) its contracts for life insurance require members to pay premiums or assessments on every o~e thousand dollar liability equal to those set out In

Schedule H and in addition such further sum as the Superintendent considers sufficient to cover the expenses of management, or its actuary certifies that the said premiums or assessments are actu arially sufficient.". 37. The following new

section is added immediately after

section 446: "44Ga.

(1) In this

section "machine" means a, vending machine whereby on depositing therein the premulm pay able for a policy of accident insurance, the person to be insured may obtain the policy therefrom, "

(2) Unless it holds a subsisting permit for the l?urpose granted by the Superintendent, no insurer sha!l ISSlle a policy of accident insurance through the medIum of a machine. "

(3) The permit shall be in such form as shall be de termined by the Superintendent and he may al~el' the form thereof at any time as he may deem to be adVIsable, "

(4) Notwithstanding any other provi~ion of this ~ct, the term of a policy issued through the medIUm of a machIne

Section 451 [426], The present wording of the Act is vague about single company representation for life agents, and does not contain authority for the placing of business with other life insurers when consent has been obtained. This amendment is intended to rectify this deficiency and to recognize established practices both in Alberta and other provinces. New subsection (4) will provide the Superintendent of Insurance with adequate records and information regarding an agent and will ensure that the Superin.tendent has on file at all times a sponsoring insurer for each licensed agent. 39. These statutory conditions have been rewritten and are transferred into

Part V. Fire Insurance,

section 210 [195], 40.

Schedule D. This is a uniform amendment adopted at the 1956 Conference of Superintendents of Insurance rewording the

section for clarification and allowing for the policy to provide otherwise. 41. These statutory conditions have been rewritten and are transferred into

Part VIII, Accident and Sickness Insurance,

section 311 [287]. 42. This will relate the new sections of the Accident and Sick ness Part to existing insurance contracts.

22 may be expressed as the duration of a journey, trip, voyage. or flight to be made by the insured by any means of transportation or conveyance. "

(5) The issue of a policy through the medium of a machine shall constitute delivery thereof for all purposes under this Act.".

Section 451 is amended by adding immediately after subsection (2) the following subsections: "

(3) No life insurance agent shall be licensed to act as agent for more than one insurer transacting life insurance, and the name of such insurer shall be specified in the licence, and no such agent shall represent himself to the public by advertisement or otherwise as the agent of more than one such insurer; but where such an agent is unable to negotiate insurance on behalf of an applicant for in surance with the insurer for which he is the authorized agent, the agent may procure the insurance from another insurer if the other insurer obtains in each case the consent in writing of the insurer for which the agent is the author ized agent, and files a copy of the consent with the Superintendent.

"

(4) Where an insurance agency other than a life in surance agency is terminated the insurer sponsoring that agent's application shall forthwith give notice in writing to the Superintendent of the termination and the reasons therefor." . 39.

Schedule B is repealed. 40.

Schedule D is amended by striking out Statutory Condition 4 and by substituting the following: "4. Unless otherwise provided in this policy, in respect of the indemnity provided therein against liability for loss or damage to persons or property, " (

a) an automobile covered by the policy shall not be used for towing a trailer owned by the insured un less like indemnity is also provided by the insurer in respect of the trailer, and " (

b) a trailer covered by the policy shall not be towed by an automobile owned by the i1~sured u.nless like indemnity is also provided by the Insurer III respect of the automobile.". 41.

Schedule E is repealed. 42. Sections 320a to 3201 as enacted by

section 35 of t~is Act apply to contracts in effect on the day upon WhICh

section 35 comes into force.

23 43.

(1) The clauses here mentioned are to come into force with the Revised Statutes of Alberta, 1955.

(2) These clauses make the changes recommended by the Superintendents of Insurance Conference for uniform enactment in the provinces of Canada. Several provinces have already en acted them, but all will be effective on the same date fixed in each province by proclamation.

23 43. (1.) Sections 1, 2, 4, 5, 6, 7, 8, 9, 10, 15, 16, 17, 22, 29, 34, 36 and 38 come into force on the day upon which the Revised Statutes of Alberta, 1955, come into force.

(2) Sections 3, 11, 12, 13, 14, 18, 19, 20, 21, 23, 24, 25, 26, 27, 28, 30, 31, 32, 35, 37, 39, 40, 41 and 42 come into force upon a date to be fixed by Proclamation of the Lieutenant Governor in Council.

(3) Section 33 comes into force on the first day of July, 1958.

THIRD SESSION THIRTEENTH LEGISLATURE 5 ELIZABETH II 1957 BILL

An Act to amend The Alberta Insurance Act. Received and read the First time ......................................... . Second time ....................................... . Third time ......................................... . HON. MR. HOOKE Title: 1957 (13th, 3rd) Bill 37,

An Act to amend The Alberta Insurance Act

Document details

Collection	Alberta — Bills
Citation	L13 S3 6274
Type	bill
Volume / chapter	L13 S3 6274
Language	en
Format	json
Source	PROVINCIAL
Identifier	0ad92001995e0dfd20f29bd75f9d7d9aafdcfa4e

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