Title
Finman General Assurance Corp. vs. Court of Appeals
Case
G.R. No. 100970
Decision Date
Sep 2, 1992
Carlie Surposa’s accidental death by stabbing was deemed covered under his insurance policy, as murder and assault were not expressly excluded.
A

Case Summary (G.R. No. 100970)

Factual Background

The insured, Carlie Surposa, was covered under Finman General Teachers Protection Plan Master Policy No. 2005 and Individual Policy No. 08924 issued by Finman General Assurance Corporation, with beneficiaries named as his parents, spouses Julia and Carlos Surposa, and brothers Christopher, Charles, Chester and Clifton Surposa. While the policy was in force, Carlie died on October 18, 1988 from a stab wound inflicted by one of three unidentified men as he and a cousin waited for a ride after attending a festival in Bacolod City. The beneficiaries submitted a written notice of claim to the petitioner, which denied coverage on the ground that murder and assault were not within the scope of the policy.

Proceedings Below

After the insurer denied the claim, Julia Surposa and the other beneficiaries filed a complaint with the Insurance Commission on February 24, 1989. The Insurance Commission rendered a decision on March 20, 1990 ordering Finman General Assurance Corporation to pay P15,000.00, the policy proceeds, with legal interest from the date of filing of the complaint. The Insurance Commission rejected an additional claim for mortuary aid for lack of evidence. Finman appealed to the Court of Appeals, which affirmed the Insurance Commission in a decision dated July 11, 1991. Petition for certiorari followed to the Supreme Court.

Issue Presented

The primary legal question presented was whether the death of the insured, caused by an intentional criminal act of a third person, falls within the coverage of a personal accident insurance policy when the policy’s enumerated exclusions do not expressly disallow death resulting from murder or assault.

Petitioner’s Contentions

Finman General Assurance Corporation contended that the insured’s death resulted from a deliberate and intentional act of the assailant and therefore was not an “accident” under the policy. The petitioner argued that murder and assault are impliedly excluded from coverage because personal accident policies indemnify only unforeseen, fortuitous events, and deliberate acts intentionally causing death lie outside that scope. Petitioner urged that the Court of Appeals committed grave abuse of discretion by applying the doctrine of expresso unius exclusio alterius to infer liability where the policy did not expressly cover death by murder or assault.

Respondent’s Position and Appellate Reasoning

The Court of Appeals and the Insurance Commission found that the insured’s death occurred without his foresight or expectation and therefore constituted an accident as understood in ordinary and legal usage. The appellate court observed that the record did not establish that the insured engaged in a voluntary act that naturally produced his death, nor did it show that the assailant targeted the insured with premeditated intent distinct from an intervening fortuity. The courts applied the accepted definition that an accident is an event happening by chance, unforeseen and without design, and held that the policy’s enumerated ten exclusions did not include murder or assault. Relying on the principle that the mention of specific exceptions implies exclusion of others (expresso unius exclusio alterius) and on Article 1377 of the Civil Code, the courts construed any obscurity against the insurer and in favor of the beneficiary.

Ruling of the Supreme Court

The Supreme Court denied the petition for certiorari for lack of merit and affirmed the judgments below ordering Finman General Assurance Corporation to pay the P15,000.00 policy proceeds with legal interest. The Court found no reversible error in the Court of Appeals’ application of governing legal principles and in its factual determination that the insured’s death was accidental for purposes of the policy.

Legal Basis and Reasoning

The Court reiterated the ordinary-law meaning of “accident” and “accidental” as events that occur by chance, fortuitously, without intention and design, and that are unexpected, unusual, and unforeseen. The Court applied the settled rule that no accident exists where injury or death is the natural result of the insured’s voluntary act unless some additional unforeseen independent event produces the injury. The Court concluded that the insured was a passive victim who did not voluntarily expose himself to danger and that the fatal stabbing was an event that took place without his foresight or expectation. The Court further relied on the policy text, which expressly enumerated ten circumstances excluding liability and did not expressly exclude death from murder or assault. Invoking the doctrine of expresso unius exclusio alt

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