Seeburger v. Metropolitan Life Ins. Co.

• Citation: 253 S.W. 485
• Decision Date: 22 June 1923
• Docket Number: No. 16748.,16748.
• Parties: SEEBURGER v. METROPOLITAN LIFE INS. CO.
• Court: Court of Appeal of Missouri (US)

253 S.W. 485

SEEBURGER v. METROPOLITAN LIFE INS. CO.

No. 16748.

St. Louis Court of Appeals. Missouri.

June 22, 1923.

Appeal from St. Louis Circuit Court; Franklin Ferriss, Judge.

"Not to be officially published."

Action by Viola M. Seeburger against the Metropolitan Life Insurance Company. Judgment for plaintiff in insufficient amount, and she appeals. Reversed and remanded, with directions.

Oscar J. Wendt and James J. O'Donohoe, both of St. Louis, for appellant.

Fordyce, Holliday & White, of St. Louis, for respondent.

DAUES, J.

This is an action upon a life insurance policy brought by the beneficiary, the widow of the insured, Louis Seeburger. At the trial below, plaintiff recovered a judgment which, however, she deemed insufficient, and thus plaintiff has brought the case here on appeal.

The case was virtually tried on an agreed statement of facts. There was some oral testimony to the effect that claim was made and that proof of death was furnished defendant within 90 days from death of insured, and there was other oral proof which, in so far as this appeal is concerned, is not of vital concern. Plaintiff, the beneficiary, claims the full amount of the policy, to wit, $1,000, less the foreborne premium and loan thereon, leaving $907.22, on the ground that she was entitled to extended insurance under the facts and the terms of the policy. The insurance company, on the other hand, claims that the beneficiary was entitled to only $170.18 as paid-up insurance in accordance with the policy and the facts attendant. At the close of the case the court gave defendant's instruction directing a verdict in favor of plaintiff in the lesser sum of $170.18, with interest from November 8, 1918, making a total amount of $176.18; there was a verdict and judgment for that amount. We have before us but the one question, and that is to give an interpretation under our statutes of the insurance contract entered into between the insured and the insurance company.

We set out so much of the agreed statement of facts as is necessary for an understanding of the particular issue before us. It was agreed:

"That on or about the 13th day of November, 1911, the defendant issued to Louis Seeburger, of the city of St. Louis, state of Missouri, its certain policy of insurance in the sum of $1,000, No. 800478-A, a copy of said policy being herewith attached and marked `Exhibit A,' and shall be considered a part hereof. (Said Policy is omitted here because material parts are elsewhere set forth herein.)

"That six annual premiums were paid upon said policy, the last of said premiums being paid on the 13th day of November, 191G. The annual premium payable on said policy of $29.07, due on the 13th day of November, 1917, was not paid, nor were any further premiums paid thereafter on said policy of insurance.

"That under the terms of said policy same was payable to Christina Seeburger, mother of the insured, as beneficiary, with the right to change said beneficiary; that, on or about the 25th day of July, 1913, said beneficiary, Christina Seeburger, was changed to Viola Mary Seeburger, wife of said Louis Seeburger; said change of beneficiary was accepted by said Metropolitan Life Insurance Company; that on or about the 10th day of February, 1917, in the city of St. Louis, state of Missouri, said Louis Seeburger and Viola Seeburger, his wife, applied for and obtained from defendant a loan in the sum of $57, with interest at the rate of 5 per cent. per annum on said loan, and that said loan agreement is herewith attached and marked `Exhibit B' (the same is omitted here because elsewhere set forth herein); that said Louis Seeburger died on or about the 8th day of November, 1918.

"That at the time of the death of said Louis Seeburger said loan, as above set out, was not paid nor was the premium due November 13, 1917, paid on said policy of insurance.

"It is admitted that at the date of lapse, November 13, 1917, the policy had acquired a reserve or net value under the actuaries or Combined Experience Table of Mortality, at 4 per cent. interest per annum, of $127.81; that in addition said policy was then entitled to a dividend of $3.51, which dividend had a reserve value under said table of $3.19, which gave said policy a total value of $130.77; that three-fourths of said reserve or net value of said policy was $98.08; that deducting the loan of $57, with interest to date of lapse, viz., $2.15, amounting in all to $59.15 therefrom, leaves a balance of said three-fourths of said net or reserve value of $38.93, which sum used as a net single premium for temporary insurance, under the nonforfeiture laws of the state of Missouri, would purchase temporary extended insurance for the full amount written in said policy, plus dividends addition, for 5 years and 97 days, or if applied to the purchase of Paid-up insurance, according to the Actuaries or Combined Experience Table of Mortality, with 4 per cent. interest, would secure a paidup value of $137.90; that the value guaranteed by said policy is founded on the American Experience Table of Mortality at 3½ per cent. per annum, which gives a greater reserve or net value than calculated under the...