232   RIGHTS AND POWERS OF INSURER

POWERS OF INStiRER

relies upon carries protection to   fixed policy alive, to excuse

the   stipulated premiums. The it   and the in rights   the

is usually measured of the injury insured gainst. Here there s no   f or   disabliy, physical oi menta.

Dealing with the ar

   It is   gument that the insured could not be expected

to make proo wh important th lly that the statncapableus of of so each contract lettract b use known.

   this policy without this waiver unadvised In as   the the amount of insurance

payment of the premium when make no   alone statement la resources

the   liabilities as   insaniy, or law. ibility of case kin

would   the   as sipulted. ensue   does not class such

event as still   by   waiver   mble, nor its without e

ment   thereof nreaslThe nsured, Here there was   the risk

of any   payment   premium   for him to make lapse

in person, negotiations   ty for examination   threinstatement,   oend in positsurrendering are ohthe in such event.
See note to the period . extended the terwithout e wiver agreement before that the

may   insured

ay the insane. This status be pad, or may about a

doing by death urnng the proof of intervened. as It   continued five or
of insanity, the years.

proof could be furnished by the beneficiary

or next friend, just further   . pellee relies upon adjusted while the   Insurance C. not
Neb. 845, until W 388, must L made 1507. with the case beneficiary court

said: "The policy   of   no limitation result in which the disease,

of disability must be presented   fixing the   court   border

construed passed   before   capacity   is not of   contract.

here. The particular strongly   upon was line in the same

terms as that here wherein   That court did say the same notice

applies as in   given cases. In this regard that the   is not in
harmony with others is bove.

Reversed and remanded.49

cases   ~~~~   ~~   been   ~ ~~~~~~~~~~   parties that ~~~   insured, who was required   give

   ~~~~   ~~~   ~~~~~~~~   ~~

indemnity was given, he should therefore lose such indemnity ~~~~~~ ~~." I ~ ~~~~~~~ Briefs ~~~ Insurance ~~~~~~~~~~
   This   but an is but an application   the

~~~~   ~ are to   ~~~   ~~~ ~~~   in favor

often   ~~~ this   ~   ~

~~~~   ~~~~~~~ ~~~~~ ~~~ ~~~~~ ~~   ~ We think there is a manifest distinction between that class

   ~~   ~

against already accrued. this case the carries pcion to a fixed date. Unless renewed by another stipulated premium it lapses, and the rights of the insured are measured by the nonfrfeiture provisions, usually certain options

for cash surrender value, pad-up insurance, or extended term insurance.

wn. Other-

wise the insurer is   advisas to the amount of insurance
outstanding—can make no accurate tmenof resand liabilities as often required by laThis case well illustrates the confusion which may ensue if the policyholder has a policy still in force by reason of a waiver of premiums withany notice therf to the insurer. Here there was correspondence looking to payment of a premium when due, notice of lase for nonpayment,

negions for examination and   and finally, a set-

tlement   the evidence of thpolicy loan, and showing

the   of   insurance—all received and apparently ap-

proved a suggestion to the insurer that the had become insane. This status continued for about a year, when dath of the insured ntervenedIt might have continued five or

ten yIt is of importance that any issue as to the fact of disability be awhile the insured is living, not postponed until an issue must be mwith the baafter his death. In cases of insanity as the result of chronic disease, great difficulty may often arise in fixing the date when the bline is

passed between mental capacity and incapacity to cnrAppellee strongly   pothe nof accident insurance

cases, wthe insured is required to give ce of his injury within a gtime. In such cases te general rule is that if the insured is rendered physically or mentally incapable of giving notice as stipulated, it will be sufficient to give notice after such disability has passed, and if death ensues in the meantime, the indemnity will not be thereby forfeited. "The theory of these

seis that it could not have b in the contemplation of the artitat if the insurewho was required to give notice, was unable to do so by reason of the very accident against which indemnity was given, he should therefore lose such indemnity

through no fault of his own   Cooley's   on s(1st Ed.) p. 3462. * * *

This application of the general rule that insurance contracts are to be liberally construed in favor of the insured as ftstated by hcourt. A construction whereby the contract is made to operate unfairly and oppressively is to be avoided.

We think there is a manifest distinction between that class of cases and this. In such accident cases, the provision is in the nature of a condition subsequent wherein the insurer defends against a liability already acIn this case the beneficiary

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