INSURANCE LAI,I/First Semester2012-2073

Claudette A. Dela CernaEstelito P. Mendoza & Associates877.0076

Grading

75% :3.076-78 :2.7579-87 = 2.582-84 :2.2585-87 = 2.088-90:7]591"-93 :1.594-96:'1.2597-700 =7.0

15% Attendance and Quizzes / Nlisc25% Recitation25% Midterms

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> JuL{ ar Irf, u^r.F r? *t^^.f35% Finals

' We may reapportion the breakdown as we go along. Exemptions in thefinals may also be considered.

' Attendance may or may not be checked every meeting. If you are calledfor recitation and not around, you will be given a 5.0 for that day.

' You may be called to recite more than once during one session. Indexcards wili be shuffled.

' Codal sections listed in the succeeding outline refer to the Insurance Codeof 1,978, as amended, urLless otherwise indicated.

' References: The Insurance Code, The Civil Code (CC), specified SpecialLaws, insurance textbooks by Campc's, and De Leon. Please read assignedcases in the originai. Digests can only heip you so far.

' Class outlines of Dean Carale and Prof. Catindig were consulted in thepreparation of this outline.

. No electronic gadgets on tabletops please, and turn off your cellphones.

. Good iuck and have fun !

h4EETING 1

PART I: INTRODUCTION

/-:::,n-^1. Insurance Def inition (B I ack' s Law\ {

.o${*,,.6a+LA contract whereby, for a stipulatecl consideration, one party undertakes

to compensate the other for loss on a specified subject by specified perils.A contract whereby one undertakes to indemnify another against loss,

damage, or liability arising from an unknown or contingent event and isapplicable only to some contingency or act to occur in the future. An agreementby which one party for a consideration prornises to pay money or its equivalentor to do an act valuable to the other party upon destrucfio.t, lors or injury ofsomething in which the other party has an interest,

2. Obligation and Contract' Elements of a contract, define' Pure and conditional obligations - CC Arts.7779, 1181, Guaranty and Suretyship

- CC

C, {;tt^t l{ ., --2 i, -iryvw f4;fr.tf3. History *f :, tr"".^tz..tiut f* .f;' ba';/{a. Mufual insurance

- concept of extending aid to a member of a group

'"e**ac4 when that member is in crisis, from a poo"l of contributions. (

C.

Early maritime or marine insurance. Vance, A Handbook on the Law of Insurance, J.d ed., pp.7-21.' Aboitiz Shipping a. Nertt India Assurance, 488 SCRA 563 (2006) L{ok,*$ik(' Manila Steamship u. Insa Abdulhaman, 700 PhiL 32 (1956) r^ticete'd rylqfl.jmadhttu lo* O^d ltrtt )rra,r

Development of Insurance in the Philippines. Sources of Insurance law in the Philippines

. Code of Commerce and Old Civil Code -

Spanish period. Act No. 2427, Insurance Act, 1915, American Regime

(repealing all insurance provisions in the Code ofComrnerce)

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R.A. No. 386, Civil Code, L950, repealing all insuranceprovisions in the Old Civil CodeSome Civil Code provisions on life annuities, donations,damages, subrogation, guarantees and sureties,restitution, other frauds, etc, and alPprovisions regardingcontracts rvhich apply subsidiarily (furtl-rer discussion onapplicable sections)Special laws (GSIS, SSS, PDIC, etc.

Note: the Insurance Code governs primarily but for matters inquestion where the Code is silent, the contract provisions of theCivil Code and other relevant special laws kick in.

' Gercio a, Sunlife Assurance, 48 Phil.53 (L925) cha$'r^.1 u'.l.iaaact. Ang Giok Chip u. Spingfield, 52 Phil.375 (1931) riarr. Philippine Health Csre Products a. Commissioner of Internal

Reaenue, 600 SCRA 413 (2008) **to lor ir'ruxr