5. The contract of insurance is to be construed liberally, and according to the intention of the parties. Whether or not a special commodity, or building, is covered by the policy, must be inferred from the general scope of the policy. It is sufficient, if the description substantially defines the property insured. If property be described as belonging to one class when it belongs to another, for which a larger premium would have been demanded, the policy becomes void. A consignee who re ceives consignments from several consignors, may insure the property in his own name.

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6. It is necessary, in all cases of fire insurance, that the property insured should at the time the liability is incurred be free from the danger insured against. The property must not be on fire, neither must fire be raging in an adjacent spot from which it is probable that it may communicate to the property insured. The insurer is presumed to take the risk on the hypothesis that this property not exposed to any unusual danger. Damages by fire means damages caused by ignition, or actual combustion, and not merely the excessive heat of a furnace, or other means of communicating heat. When the damage is from lightning without any combustion, it is clearly not within the terms of insurance. The insurance companies are liable for all losses which are the immediate consequences of fire or burning. They are liable where goods are injured by fire-engines in putting out a fire; or by the removal of the goods, although the goods may not have been burnt; or by breaking; or by water in the act of

5. How is the contract of insurance to be construed? From what must the question, whether a particular building or a special commodity be covered by the insurance, be determined? What description will be sufficient? If property be described as belonging to one class, when it belongs to another for which a larger premium would have been de manded? How may a consignee insure?

6. What must be the condition of the property insured, as to imme diate danger? Can property be insured if it is on fire? How is the insurer presumed to take the risk? What is the meaning of damages by fire? If the damage be caused by lightning without ignition? For what losses are insurance companies liable? If goods are injured by fire-en

saving them from the fire. The fire in such cases is the proximate cause of the injury, and by a liberal construction of the policy, the goods may be said to have been injured by fire. Where it becomes necessary to blow up a building to arrest the progress of the fire, the insurance company will be held liable for the loss so occasioned.

7. Losses occasioned by the mere fault of the insured or his servants, unaffected by fraud or design, are within the protection of the policy. Losses by the negligence of tenants, and even by incendiaries, are within the protection of the policy. Gross negligence of the assured may, under certain circumstances, amount to a fraudulent loss, and would constitute just ground for rejecting any claim for loss. Gross negligence, if not equivalent to fraud, is inconsistent with good faith. Gross negligence on the part of the insured may be of such a character as to exonerate the insurers; although evidence of a deliberate intention in the insured to set fire to the premises, is not such as would be required to convict him of arson. Mischief arising from the wilful, or even felonious acts of servants or strangers, is a risk within the policy, except where the fire may happen by invasion, insurrection, riot, or usurped power.

8. An express warranty, in the law of insurance, is a stipulation inserted in writing on the face of the policy, on the literal truth or fulfilment of which, the validity of the entire contract depends. The policy may so refer to another writing as to make it a part of the policy. When

gines in putting out the fire? If broken or injured in saving them from being burned? Of what is the fire in such cases the proximate cause? Where it becomes necessary to blow up a building to arrest the progress of the fire?

7. If the loss be effected by the fault of the insured or his servants, unaffected by fraud? If the loss be by the negligence of a tenant? To what may gross negligence amount? With what is gross negligence inconsistent? Would the evidence of gross negligence be sufficient to release the insurers from responsibility, and yet not be sufficient to convict of arson? If caused by the wilful or felonious acts of servants or strangers?

8. What is an express warranty, in the law of insurance? If such warranty be unfulfilled or be untrue? How may another writing be

a policy is clear and explicit, no parol evidence can be admitted to contradict or vary its provisions. An implied warranty necessarily results from the terms of the contract. A misrepresentation renders the contract void, on the ground of fraud. A non-compliance of the warranty, is an express breach of the contract. When a thing is warranted to be of a particular description, it must be as it is represented; otherwise the policy is void, and there is no contract.

9. It is the practice of fire insurance companies to make inquiries of the insured, concerning all matters deemed material to the risk, or which may affect the amount of the premium to be paid. This is sometimes done by annexing the conditions of insurance to the policy. Sometimes the applicant is required to state particular facts, in a written application for insurance. When thus called upon to speak, he is bound to make a true and full representation concerning all the matters brought to his notice. The test of the materiality of a representation is the probable influence made on the mind of the insurers, in their determination to assume the responsibility they would not otherwise have assumed. Materiality of a representation is a matter of fact to be ascertained by a jury. Policies of fire insurance are personal contracts with the insured, and do not pass to the purchaser of the property insured, or to the assignee, without the consent of the insurers. If the insured part with all his interest in the property before the loss happens, the policy is at an end, unless it be assigned to the purchaser. If he retain

made a part of the policy? What evidence cannot be introduced to contradict or vary the provisions of the policy? What is the effect of a misrepresentation? What effect does the non-compliance of the warranty have? When a thing is warranted to be of a particular description?

9. What inquiries are insurance companies accustomed to make of the insured? What are sometimes annexed to the policy of insurance? What is the applicant sometimes required to state in writing? When thus called upon to speak, what is he bound to do? What is the test of the materiality of a representation? By whom is the materiality of representation to be decided? What kind of contracts are policies of fire insurance? Do they pass to the purchaser of the property insured? If

a partial interest, the policy will protect such interest. If the assignment takes place after the loss, it does not require the consent of the insurers. Whether an alteration to a building amounts to an increase of the risk, is a question for the jury. Profits are sometimes insured, but they must be insured as such. The proposals and conditions attached to the policy, form a part of the contract, and have the same force and effect as if contained in the policy. An application required of the insured is also deemed a part of the contract of insurance, when it is referred to in the policy as forming a part thereof. If a building be used in a manner prohibited by the policy, whether with or without the knowledge of the insured, the liability of the insurers ceases. The loss is to be estimated according to the cash value of the property at the time it is destroyed. An inquiry will make a fact material, which otherwise would not be material.

CHAPTER LXXX.

LIFE INSURANCE.

1. THE usual purpose of life insurance is to provide a fund for others, in case of the death of the insured. A person may insure his own life, or the life of another in whom he has an insurable interest. A bona-fide creditor has an insurable interest in his debtor's life to the extent of his debt. A person may insure his own life for the

the insured part with all his interest in the property before the fire occurs? If he retain a partial interest? If the assignment takes place after the loss? By whom is the question, whether an alteration in the premises is an increase of the risk, to be decided? Can profits be insured? What do the proposals and conditions attached to the policy form? If an application be required of the insured? If a building be used in a manner prohibited by the policy? How is the loss to be estimated? What will make a fact material, which otherwise would not be material? 1. What is the usual purpose of life insurance? Whose life may one

benefit of heirs or creditors. The insurable interest in the life of another person must be a direct and definite pecuniary interest. A person has not such interest in the life of his wife or child.

2. In New York, by the law of 1840, a wife may either in her own name, or by a trustee, insure her husband's life, free from the claim of his representatives or creditors. If the husband survive the wife, the loss may be payable to the wife's children. A life policy is assignable; and an assignee for value, of a policy effected by the assignor upon his own life, may recover the whole amount insured, without reference to the consideration paid by him for the assignment. It is not necessary that the assignee should have an insurable interest.

3. Applicants for life insurance, as a general rule, are unknown to the officers of the insurance company. The company, therefore, relies upon the statement and representations of the applicant, and his application is placed on file, and is made the basis of the policy of insurance. Good faith is requisite. All concealment or suppression of material facts avoids the policy. Whether the suppression arise from fraud or accident is immaterial, if the fact be material to the risk.

4. The applicant is required to state his name, residence, place of birth, age, whether married or single, employment, with a description of the diseases with which he has been afflicted. He is also to state how

insure? Has a creditor an insurable interest in the life of his debtor ? For whose benefit may a person insure his own life? What must the insurable interest in the life of another be? Has a person such interest in the life of his wife or child?

2. Free from what does the law of New York allow the wife to insure the life of her husband? If the husband survive the wife? Is a lifepolicy assignable? What amount may the assignee recover? Is it necessary that the assignee have an insurable interest?

3. Are the applicants for life insurance generally known to the officers of the company? Upon what does the company rely? What is made the basis of the policy? What is requisite? If there is any concealment or suppression of material facts? If the suppression arise from accident?

4. What is the applicant required to state? What is he required to