United States v. Portland Trust & Savings Bank

Two questions are presented in this appeal: (1) Whether there is any substantial evidence to show that the insured was an “insane person” within the meaning of § 19 of the World War Veterans’ Act, 38 U.S.C.A. § 445 , on July 3, 1931; and (2) whether there is any substantial evidence that the insured was totally and perman *709 ently disabled on or prior to August 31, 1920.

A policy of yearly renewable term insurance was issued to William V. Mahoney on December 7, 1917, and premiums were paid upon it until August 1, 1920. Protection under the policy expired on August 31, 1920, at the termination of the grace period for payment of the premium due on August 1, 1920. Twenty-one years later, on July 28, 1941, a claim for benefits under the policy was filed in the Veterans’ Administration, alleging that the insured had become totally and permanently disabled while the policy was in force. The claim was denied on November 3, 1941, and the present suit was brought on November 19, 1941.

The policy sued upon was issued pursuant to the provisions of the War Risk Insurance Act of October 6, 1917, and insured against death or permanent and total disability (c. 105, 40 Stat. 398 , 409; 38…