l" CourseCde: LAlf,l139

ll. CourseTitle: INSURANCE LAW

lll. CreditUnits: 2

V. Course Description:
This course provides a study of the lnsumnce Code and releted laws, including the concept and
function of insurance, the nature of the insurance mntract, insurable interest, special forms of
insurance and govemment regulation of the insurance business.

V. Course Objectives:
The course aims at providing the student with a good overview and sense of orientation
regarding the implementation of insurance laws as well as the conduct of doing insurance business in
the Philippines.
Students successfully completing this course should be able to:
1. Understand and appreciate the nature and characteristic of an insurance contract
2. Demonstrate knowledge and understanding of the key concepts and principles of insurance
contracts such as insurable interests, policy and the different classes of insurance in the
Philippines.
3. Understand how courts interpret the insuranre code of the Philippines.
4. Apply the knowledge gained from this cause to solve contemporary problems relating to
insurance.

Vl. Grading System:

Midterm Grade = 40%(Quizzes) + z0%(orR)+40%(Midterm Exam)
Tentative Final Grade = 40%(Quizzes) + 20%(OTR)+40%(Final Exam)
Final Grade = 40%{Midterm Grade) + 60%(Finat Grade)

where: ATRpther RequiremenfsJ= Case Drgesfs.

Vll. Course Content:

I. INTRODUCTION
A. HistoricalBackground
B. Ccncept of lnsurance
C. CharacteristicslNature of Insurance Contracfs
D. Elements of an lnsurance Contract
E. Parties to an Insurance Contract
F. lnsurable lnterest

II. THE CONTRACT OF IHSURANCE

A. Offer and Acceptance/Consensual
B. Premium Payment
C. Refund of Premiums
D. The lnsurance Policy
E. Double lnsurance
F. Reinsurance

III, RESCISSION OF IHSURANCE CONTRACTS

A. Concealment
B. Misrepresentationlomissions
C. Breach of Wananties

IV. CLA$SES OF IHSURANCE

A. Marine
B. Fire

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 C. Casualty
D. Suretyship
E. Life
F. Compulsory Motor Vehicle Liability lnsurance

U. CLAIIfrS SETTLE[ilEl'lT AHD SUBROGATIOII

A. Loss
B. Notice and Proof of Loss
C. Rules on Claims Settlement
D. Payment Proceeds in Life & Non-Life lnsurance
VI. THE IH$URANCE COTilHfiISSIOHER
A. Powers of the lnsurance Commissioner

vilt. References:
1, Aquino, Timoteo B. Essentials of lnsuranqe Law. Quezon City: Rex Printing Company.
2. Perez, Hernando. The lnsurance Code and Financial Rehabilitation and lnsolvencv Act of 2010.
Quezon City: Rex Printing Company.
3. De Leon Jr., Hector M. The lnsurance Code of the Philippines Annotated. Quezon City: Rex
Printing Company, 201 0.
4. Rodriguez, Rufus B. The lnsur.ance Code of the Philippines. Sixth Edition. Quezon City:
CentralBooks, 2003

Prepared by:

GILBERT R. HUFANA
Professor

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LAW I39INSURANCE LAW
Cases for Digests

MIDTERMS
Construction of tte lnsurance C.ode
lnsular Life v. Ebrado 80 SCRA 181
Qua Chee Gan v. Law Union Rock 98 PHIL 85
Ty v. Filipinas Compaffia de Seguros 17 SCRA M
Del Rosario v. Equitable lnsurance 118 PHIL 349
Misamis Lumberv. Capital lnsurance 123 Phil 1077
Verendia v. CA 217 SCRA 1993

The Contract of lnsurance: lts Flements

Philamlife v. Ansaldo 234 SCRA 509
Filipinas Cia de $eguros v. Christern Huenfeld & Co. 80 PHIL 54
San Miguel Brewery v. Law Union Rock lnsurance Company 40 PHIL 674
Saura lmport Export Co. v. Philippine lnternational Surety 118 PHIL 150
Palilieo v- Cosio 97 PHll- 919
Grepalife v. CA 316 $CRA 677

Parties to an lnsurance Coptract

Filipinas Cia de $eguros v. Christern, Huenfeld & Co. lnc. 89 PHIL 54
Nario v. Philamlife lnsurance Company 20 SCRA 434
Villanueva v. Oro 81 FHIL 464
Philamlife v. Pineda 175 SCRA 416
lnsular Life Assurance Co. v. Ebrado 80 SCRA 181
Southern Luzon Employee's Association v. Golpeo 96 PHIL 83
SSS v. Davac 17 SCRA 863
Vda. De Consuegrav. GSIS 37 SCRA 315
ln Re: Mario Chanliongco 79 SCRA 364

lnsurable lnterest
Col. C. Castro v. lnsurance Commissioner GR. 55836, Feb. 16, 1981
Lincoln National Life v. San Juan CA GR 34588-88, Nov. 27, 1971
Gercio v. Sun Life 48 PHIL 53
El Oriente v. Posadas 56 PHIL 147 (1931|
Philamcare v. CA 379 SCRA 356

lnsurable Intcrest in Propertv

Harvardian Colleges v. Country Bankers lnsurance Corp. 1 SCRA 2
Traders lnsurance and Surety Co. v. Golangco 95 PHIL 826
Filipino Merchants v. CA 179 SCRA 638
Cha v. Cha277 SCRA 690 (1997)
Sharuff and Co. v. Baloise Fire lnsurance Co. 64 SCRA 25
Garcia v. HongKong Fire and Marine lnsurance Co. 45 PHIL 122
Tai Tong Chua Che & Co. v. lnsurance Commission 158 SCRA 366

Co n cealmenUM isrep resentation

Great Pacific Life Assurance Cory. V. CA 316 SCRA 677
Saturnino v. Philippine American Life lns. Co. 7 SCRA 316
Great Pacific Life Ass. Co. v. CA 8g SCRA 543
Musngiv. West Coast Life lns. Co. 61 PhilSS4
$unlife Assurance Company of Canada v. CA 245 SCRA 268
Ng Gan Zee v. Asian Crusader Life Assn. Corp. 122 SCRA 461
Eguaras v. Great Eastem Life Ass. Co. 33 Phil 263
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Argente v. Wectrcast Life Olns. Co. 51 Phil725
lnsular Life Ass. Co. v. Feliciano 74 Phil 468

FINALS
Policv
De Lim v. Sun Life Assurance Co. 41 Phil 263
Pacific Timber Export Corp.v. CA 112 SCRA 199
Bonifacio Bros. lnc. v. Mora 20 SCRA 261
Development lnsurance Corp. v. IAC 143SCRA 62
Finman GeneralAssuarnce Corp.v. lnoencio 179 SCRA 480
Ang v. Fulton Fire lns. Ca.2 SCRA 946
Paulino v. Capital lns. & Surety Co. 105 Phil 1315
Malayan lns. Co. v. CruzArnaldo 154 SCRA 672

llUarranties
Edillon v. Manila Bankers Life lns. Corp. 117 SCRA 187
Ang Giok Chip v. Springfield Fire & Marine lns. Co. 56 Phil375
Union Manufacturfng Co. v. Phil Guaranty Co.47 SCRA 271
Pacific Banking Corp. v. CA 168 SCRA 1

Premium
Philippine Phoenix Surety & lns. Co. v. Woodworks, lnc. 92 SCRA 419
Servicewide Specialists lncoprorated v. CA 256 SCRA 649
Aleja v. GSIS 13 SCRA 212
Acme Shoe Rubber & Plastic Corp. v. CA 134 SCRA 155
Arce v. Capital lns. & Surety Co., lnc. 117 SCRA 63
Velasco v. Apostol 173SCRA 228
Valenzuela v. CA 191 SCRA 1
UCPB Genered lnsurane Co., lnc. v. Mesagana Telemart, lnc. 308 $CRA 259 & GR No. 137172, April 2, 2001
American Home Assuarnce Co. v. Chua 309 SCRA 250
MakatiTuscany Condominium Corp. v. CA 215 SCRA 462

Loss
East Fumiture Co. v. Globe & Rutgers Fire lns. Co. 57 Phil576
Shanuf & Co. v. Baloise Fire lns. Co. 64 Phil258
Yu Ban Chuan v. Fieldmen's lns. Co. 14 SCRA 491
Pacific Banking Corp. v. CA 168 SCRA 1

Double lnsurancelOver-insulqncelRe-insulance
PhilAmerican Life lns. v. Auditor General22 SCRA 135
Fieldmen's lns. Co. v. Asian Surety & lns. Co. 34 SCRA 36
Equitable lns. & Casualty Co. v. Rural lns. & Surety Co.4 $CRA 343
Gihson v. Revilla 92 SCRA 219

ClaimgSefrlement
Bay View Hotel lnc. v. Ker& Co., Ltd. 116 SCRA 327
Galutera v. MAersk Line 11 SCRA 251
Compania Maritima v. lnsurance Co. of North America 12 SCRA 213
F.F. Cruz & Co. v. CA 164 $CRA 731
Manila Mahogany Manufacturing Co. v. CA 154 SCRA 650
St. Paul Fire & Marine lns. Co. v. Macondray & Co. lnc. 70 SCRA 122
Coasfirvise Lighterage Coqroratlon v. CA 245 SCRA 796
Cathay lnsunance Co., lnc. v. CA 174 SCRA 11

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