Federal Mutual Insurance v. Lewis

Henderson, J., delivered the opinion of the Court. The sole question presented in this appeal is whether there was sufficient evidence of waiver of proof of loss to submit the question to the jury in an action upon a fire insurance policy. In a suit on the policy the jury returned a verdict of $5,000.00. The policy in question was secured through Eight’s Insurance Service, Oakland, Maryland, in the amount of $7,000.00, covering a certain dwelling.

On June 25, 1961, the ⁵⁸⁹ policy was endorsed with a vacancy permit, for which an additional premium was paid. On September 12, 1961, the dwelling was totally destroyed by fire. The loss was promptly reported to Right. The policy contained a clause reading as follows: “The insured shall give immediate written notice to this Company of any loss, protect the property from further damage, forthwith separate the damaged and undamaged personal property, put it in the best possible order, furnish a complete inventory of the destroyed, damaged and undamaged property, showing in detail quantities, costs (,) actual cash value and amount of loss claimed; and within sixty days after the loss, unless such time is extended in writing by this Company, the insured shall render to this Company a proof of loss, signed and sworn to by the insured, stating the knowledge and belief of the insured as to the following: the time and origin of the loss, the interest of the insured and all others in the property, the actual cash value of each item thereof and the amount of loss thereto, all encumbrances thereon, all other contracts of insurance, whether valid or not (,) covering any of said property, any changes in the title, use, occupation, location, possession or exposures of said property since the issuing of this policy, by whom and for what purposes any building herein described and the several parts thereof were occupied at the time of loss and whether or not if then stood on leased ground, and shall furnish a copy of all the descriptions and schedules in all policies and if required, verified plans and specifications of any building, fixtures or machinery destroyed or damaged.

The insured, as often as may be reasonably required, shall exhibit to any person designated by this Company all that remains of any property herein described, and submit to examinations under oath by any person named by this Company, and subscribe the same; and, as often as may be reasonably required, shall produce for examination all books of account, bills, invoices and other vouchers, or certified copies thereof if originals be lost, at such reasonable time and place as may be designated by this Company or its representative, and shall permit extracts and copies thereof to be made.” ⁵⁹⁰ The appellant raises no question as to notice of the loss. Lewis testified that Right told him that the matter had been reported to the Company and that everything was being done that could be done, “as quick