§ 26-15-102 — Life insurance upon individual or person in whom he has insurable interest; "insurable interest" defined

Wyoming § 26-15-102

• Jurisdiction: Wyoming
• Title 26: Insurance Code
• Ch. 15: THE INSURANCE CONTRACT

Text

(a) Any individual of competent legal capacity may procure
or effect an insurance contract upon his own life or body for
the benefit of any person. Except as provided in W.S. 26-15-103,
no person shall procure or cause to be procured any insurance
contract upon the life or body of another individual unless the
benefits under the contract are payable to the individual
insured or his personal representatives, or to a person having,
at the time when the contract is made, an insurable interest in
the individual insured.
(b) If the beneficiary, assignee or other payee under any
contract made in violation of this section receives from the
insurer any benefits thereunder accruing upon the death,
disablement or injury of the individual insured, the individual
insured or his executor or administrator, as the case may be,
may maintain an action to recover the benefits from the person
receiving them.
(c) "Insurable interest" as to personal insurance means
that any individual has an insurable interest in the life, body
and health of himself, and of other persons as follows:
(i) In the case of individuals related closely by
blood or by law, a substantial interest engendered by love and
affection;
(ii) In the case of other persons, a lawful and
substantial economic interest in having the life, health or
bodily safety of the individual insured continue, as
distinguished from an interest arising only by, or enhanced in
value by, the death, disablement or injury of the individual
insured; and
(iii) An individual party to a contract or option for
the purchase or sale of an interest in a business partnership or
firm, or of shares of stock of a closed corporation or of an
interest in those shares, has an insurable interest in the life
of each individual party to the contract and for the purposes of
the contract only, in addition to any insurable interest which
otherwise exists as to that individual's life.
(d) An insurer may rely upon all statements, declarations
and representations made by an applicant for insurance relative
to the applicant's insurable interest in the insured. No insurer
incurs legal liability, except as set forth in the policy, by
virtue of any untrue statements, declarations or representations
relied upon in good faith.