NMSA 1978, Chapter 59A (New Mexico Insurance Code), Article 18: The Insurance Contract

What this document is

NMSA 1978, Chapter 59A (New Mexico Insurance Code), Article 18 - The Insurance Contract is a state statute published by nmonesource.com. It is one of the New Mexico documents that insurance license exam questions are written from, including new mexico life & health, new mexico property & casualty, new mexico personal lines practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• NMSA 1978 ch. 59A § 59A-18-9 (Alteration of Application; Life, Health Insurance)

  “No alteration of any written application for any life or health insurance policy or annuity contract shall be made by any person other than the applicant without his written consent, except that insertions may be made by the insurer for administrative purposes only in such manner as to indicate...”

• NMSA 1978 ch. 59A § 59A-18-10(A) (Application as Evidence)

  “The insured shall not be bound by any statement made in the application, and no application for issuance of any life or health insurance policy or annuity contract shall be admissible in evidence in any action relative to such policy or contract, unless a true copy of the application was attached...”

• NMSA 1978 ch. 59A § 59A-18-19(C) (Execution of Policies)

  “No policy which is otherwise valid shall be rendered invalid by reason of the apparent execution thereof on behalf of the insurer by the imprinted facsimile signature of an individual not authorized so to execute as of the date of the policy.”

• NMSA 1978 ch. 59A § 59A-18-4(A) (Insurable Interest; Personal Insurance)

  “No person shall procure or cause to be procured any insurance contract upon the life or body of another individual unless the benefits under such contract are payable to the individual insured or his personal representatives, or to a person having, at the time such contract was made, an insurable...”

• NMSA 1978 ch. 59A § 59A-18-11(C) (Representation in Application)

  “The falsity of any statement in the application for any policy covered by this Code may not bar the right to recovery thereunder unless such false statement materially affected either the acceptance of the risk or hazard assumed by the insurance company.”

• NMSA 1978, § 59A-18-26 (Payment discharges insurer)

  “Whenever the proceeds of or payments under a life or health insurance policy or annuity contract heretofore or hereafter issued become payable in accordance with the terms of the policy or contract, or exercise of any right or privilege thereunder, and the insurer makes payment thereof in...”

• NMSA 1978, § 59A-18-5(A) and (B) (Insurable interest, life insurance; exception when certain institutions designated beneficiary)

  “A. Life insurance contracts may be entered into in which the person paying the consideration for the insurance has no insurable interest in the life of the individual insured, where charitable, benevolent, educational or religious institutions or their agencies are designated irrevocably as the...”

• NMSA 1978, § 59A-18-16(A)(2)(a) (Continuation of coverage and conversion rights; accident and health insurance policies; notice)

  “A. every accident and health insurance policy that provides hospital, surgical and medical expense benefits and that is delivered, issued for delivery or renewed in this state on or after January 1, 1985 shall provide: (1) if an individual policy, covered family members the right to continue such...”

• NMSA 1978, § 59A-18-24 (Insurance producers; whom they represent)

  “A licensed insurance producer appointed as insurance producer by an insurer shall, in any controversy between the insured or the insured's beneficiary and the insurer, be held to be the agent of the insurer that issued the insurance solicited or applied for, anything in the application or policy to...”

• NMSA 1978, § 59A-18-11(C) (Representation in application)

  “C. The falsity of any statement in the application for any policy covered by this Code may not bar the right to recovery thereunder unless such false statement materially affected either the acceptance of the risk or hazard assumed by the insurance company.”

• NMSA 1978, § 59A-18-6 (Insurable interest, property)

  “A. No contract of insurance of property or of any interest in property or arising from property shall be enforceable as to the insurance except for the benefit of persons having an insurable interest in the things insured as at the time of the loss. B. "Insurable interest" as used in this section...”

• NMSA 1978, § 59A-18-29(B) (Cancellation of certain policies)

  “B. An insurer may cancel its policy without cause at any time within sixty days following original issuance and effective date of the policy. The insurer shall give the named insured written notice of the cancellation not less than ten days prior to the effective date of the cancellation, which...”

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