Insurer ordered to honor credit life policies on working capital loans after denying coverage for a pre-existing condition

In a decision reported on September 12, the 6th Civil Court of Jabaquara (State of São Paulo) ordered an insurer to comply with two credit life policies and settle the outstanding balances of working capital facilities following the death of the insured company’s managing partner. The court found the denial based on a pre-existing condition unlawful, as no medical examination or health questionnaire had been required at underwriting and no bad faith by the insured was proven.

Read the full article: Migalhas

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