RESOLUTION OF THE SUPREME COURT OF THE REPUBLIC OF UZBEKISTAN

of November 29, 2017 No. 45

About some questions of application by courts of the legislation in case of the dispute resolution following from the insurance contract

For the purpose of ensuring uniform and correct application by courts of the legislation governing the relations in the field of insurance, being guided by article 17 of the Law of the Republic of Uzbekistan "About courts" the Plenum of the Supreme Court of the Republic of Uzbekistan decides:

In case of property insurance the insurer shall pay insurance indemnity in case of loss occurrence, that is compensate to the insurer (beneficiary) the losses caused owing to such case in insured property or losses in connection with other valuable interests of the insurer within insurance sum.

Personal insurance assumes the obligation of the insurer to pay one-timely or to pay periodically caused insurance sum in case of damnification of life or to health of the insurer (insured person), achievements by it of the certain age or approach in his life of other provided by the agreement of insured event.

The insurance contract can be signed by creation of one document or delivery by the insurer to the insurer based on its written or oral statement signed by the insurer of the insurance policy (the certificate, the certificate, the receipt) and the containing term of the contract of insurance.

Non-compliance with the requirement to form of the insurance contract attracts its invalidity.

2.2. Draw the attention of courts that in case of the conclusion of the insurance contract by delivery by the insurer of the insurance policy signed by it (certificates, the certificate, the receipt) containing terms of the contract of insurance, the consent of the insurer to sign the agreement on terms offered by the insurer is confirmed by acceptance from the insurer of the specified documents and payment of insurance premium or - in case of introduction of insurance premium by installments - payment of the first fee.

4. According to part one of Article 931 of group of companies in case of the conclusion of the insurance contract the insurer shall tell the insurer known to it at the time of the conclusion of such agreement of circumstance, the probabilities of loss occurrence and the size of possible losses from its approach (insurance risk) having essential value for determination.

Draw the attention of courts that it is necessary to understand the circumstances which are definitely stipulated by the insurer in standard form of the insurance contract (policy), rules of insurance transferred to the insurer or in its written request which matter for assessment by the insurer of the assumed risk as the circumstances having essential value for determination of probability of loss occurrence and the size of possible losses from its approach.

At the same time, if the insurer who did not exercise to the conclusion of the agreement the right to assessment of insurance risk was intentionally misled by the insurer concerning its cost, then the insurance value of property can be disputed.

6. Courts should mean that terms of the contract of voluntary insurance of property can provide the provisions excluding payment of insurance indemnity if the size of the losses which resulted from loss occurrence at the insurer (beneficiary) does not exceed or the size of losses (franchize) which was less defined by the insurance contract. The franchize can be established in the form of certain percent or in the fixed size.

As such effects the insurance contract, in particular, may contain condition about the right of the insurer to require agreement cancelation of insurance or about unilateral refusal of obligation fulfillment in case of failure to pay the due insurance premium. In this case, if the law or the agreement do not provide other, the paid insurance premium is not subject to return.

8.1. Draw the attention of courts that availability in the insurance contract of condition about its termination in connection with delay of payment of due installment does not exempt the insurer from obligations on insurance agreement performance if the insured event occurred before date of introduction of due installment which payment is delayed. In this case the insurer has the right to limit the size of subjects to payment of insurance indemnity for the agreement of property insurance or insurance sum for the agreement of personal insurance to the amount pro rata to the part of insurance premium paid to it and to offset the amount of overdue insurance premium.

8.2. If the insurance contract contains condition about the right of the insurer to require agreement cancelation in case of failure to pay the due insurance premium and in case of approach of such circumstance the insurer did not use this right, it cannot refuse payment of insurance indemnity, however, to the payment of insurance indemnity for the agreement of property insurance or insurance sum for the agreement of personal insurance having the right to limit the size of subjects the amount pro rata to the part of insurance premium paid to it and to offset the amount of overdue insurance premium.

8.3. The insurer who did not express will on unilateral refusal from obligation fulfillment according to the insurance contract in connection with failure to pay the due or unpaid insurance premium having the right to take a legal action within the duration of the agreement with the requirement about collection of the due or unpaid insurance premium delayed by the insurer.

In case of proprietary insurance the valuable interest connected with risk of loss (death), shortage or damage of the property belonging to the insurer (beneficiary) based on the law or the transaction acts as object of insurance.

10. In case of the conclusion of the insurance contract of pledged property according to Article 917 of group of companies the pawnbroker shall have interest in preserving property for himself and ensuring its safety in case of non-execution of the obligation provided with pledge to satisfy the interests at the expense of the cost of pledged property. In this case the pawnbroker acts as the beneficiary according to the insurance contract.

11. Under the agreement of property insurance the made event provided by the agreement with which approach there is obligation of the insurer is understood by insured event to pay insurance indemnity.

The insured event includes event on which case of approach insurance, the fact of damnification and causal relationship between approach of event and harm is made, and it is considered come from the moment of damnification (shortage or damage of insured property, its loss or death and so forth) as a result of event on which case of approach insurance was made.

11.1. If the event on which case of approach insurance was made came during validity, and the damage suffered is revealed after expiration of the contract, person for benefit of whom the insurance contract is signed (the insurer, the beneficiary) has the right to insurance payment if harm is done or began to be caused during validity. In this case the obligation of proof of damnification or the beginning of its causing during validity of insurance is assigned to the insurer (beneficiary).

If based on the circumstances of a matter the moment of damnification cannot be authentically determined, harm is considered caused at the time of its identification.

Disclaimer! This text was translated by AI translator and is not a valid juridical document. No warranty. No claim. More info