Consider the theoretical aspects, the contract is an agreement between two or more parties, thereby showing the uniformity of the (also known as the "covenant") of the parties to the desired destination and achieve the legal effect of that set, change or terminate the rights and obligations binding on the parties in contractual relations. As part of the law by the parties in the contractual relations created in terms of theory, the terms stipulated in the contract must ensure the criteria: full, clear, unified, single meaning, easy understand the criteria "clearly" is most important. However, many of the existing practice does not always ensure the above criteria led to the parties no unified understanding of contract issues and explain the contract to dispute resolution in place. The purpose of the explanation is to clarify the meaning and scope of the contract or specific terms of the contract. Within this article and want to exchange with your readers about "explaining the insurance."
Insurance contracts in general and the life insurance in particular is regulated by Law Business insurance is a contract to join (also called the form). Characteristics are shown in that insurance business is the offer terms form (by the Ministry of Finance issued or approved) to customers consider acceptable answer in a reasonable time, if to agree to participate in insurance means to accept the entire contract under terms that form the insurance business has made. Therefore, in principle the purchase of insurance is not negotiations, agreement on the modification of the terms of insurance.
From the "vulnerable" in the purchase of insurance, the complexity and difficulty understanding the terms of insurance, especially term life insurance, and to avoid the insurance companies find ways to " put pressure "customer, Don Ho at the difficult choices as well as restrictions violate the principle" freedom of contract "in the transaction, the law has provisions on obligations by the appropriate insurance to protect the legitimate rights of the buyer of insurance as follows:
- Firstly, when the combination of insurance, business insurance, are responsible for providing full information relating to insurance contracts, obligations explained to the purchase of insurance conditions, terms insurance for the purchase of insurance ... "(Clause 1, Article 19 Law on insurance business).
- Monday, "in case the insurance contract terms are not clearly the terms that explain the benefits to buy insurance" (Article 21 Law on insurance business). "
Thus, according to the regulations on the obligation to explain the insurance before the insurance business (conducted directly or through agents) and explained this to the benefit for the purchase of insurance if the terms are not clear. When there are disputes between insurance companies and customers related to the regulation of contract terms, courts are obliged to clarifying the meaning and content of insurance and that priority will explain the benefit for more people to buy insurance and / or receive insurance benefits.
In this regard, Clause 2 of Article 406 of the Civil Code in 1995 and Clause 2 of Article 407 of the Civil Code of 2005 also stipulated "In case of form terms are unclear, the parties made the contract sample suffered disadvantage when explaining the terms. " This regulation is reasonable because the insurance business is the drafting of the contract, so in principle they are right at the same time are obliged to express terms of a clear, coherent body of people to the insurance or the benefit of insurance is the right to accept or reject all such terms (not participating insurance) which are not "haggle" anything.
However, the Law on insurance business only in the prescribed guidelines explain the insurance but not how to explain this agreement how. Therefore, when a dispute occurs, the interpretation of insurance must be pursuant to other provisions of law if, in principle, by applying the law, the delivery and implementation of insurance before all will be adjusted by the law of insurance business. If the law of insurance business not specified or referred to other applicable law (Civil Code and the regulations stipulated by the law are involved), the law will be applied (Article 12 paragraph 4 Law insurance business). In this case, Article 408 of the Civil Code in 1995 stipulates the method of explanation as follows:
1. When contract terms are not clearly not just based on words of the contract, but the basis of the of the parties to explain the terms.
2. When terms of a contract can be understood by many that it must choose which serves as the terms for making the most benefit for the parties.
3. When the words have to understand the many different means, it must explain the meaning most relevant to the nature of the contract.
4. When the contract terms or words difficult to understand, must be explained in conventional location of signing the contract.
5. When the lack of some articles not primarily content, it can supplement the practice for the type in which the location of signing the contract.
6. The terms in the contract must be explained in relationship to each other, so that the meaning of the terms that suit the entire contract. "
Article 409 of the Civil Code of 2005 also inherit the regulations on how to explain the contract at the 1, 2, 3, 4, 6 of Article 408 above. However, Article 409 of the Civil Code of 2005 was modified from "... missing some articles do not belong to the main ..." in paragraph 5 of Article 408 to "... missing some articles .. . and two new additional ways to resolve the following:
7. In case of conflict between the media of the parties from the language used in the agreement of the parties of the used to explain the contract.
8. In the case of the parties to the contract for any of the parties when the contract explained to the direction for the vulnerable. "
Clearly from the above rules, then the interpretation of the insurance benefit to purchase insurance when the terms are not clearly be placed in relationship to explain how the mentioned in civil law, not current is applied by accidentally, of the single.
Explanation of is not a new problem for countries in the world by Christ before the law and under the first code is set foundation for this activity. However, not law countries are different rules about how to explain the contract. According to the Ministry of French civil law, when appropriate in cases where the terms of the contract have not clearly must consider that the purpose of the parties signed (Article 1156). If the contract terms can be explained by two different ways, it must choose to explain what terms make the effective exclusion and to explain the terms as invalid (Article 1157). The case of a terms of agreement can be understood by two different means, it must explain the meaning most relevant to the content of the contract (Article 1158). Explained based on the customs, practices (Article 1159 and 1160). Explain the content of specific terms must be based on the content of contracts in general, because the terms of each specific contract may not conflict each other (Article 1161) and in cases where a suspect on the the terms of a contract, it must explain the terms that the benefit to the obligations (Article 1162).
According to the 1980 Vienna Convention, "and declared the handling of a party is explained as that of the other party if they know or may not know that mind. If there is no such purpose, the statement and hearing the other side is an explanation of the meaning that people have a reason, if that person is put in position by the other party in the same way also will understand this. And when you want to identify a party or do not understand how often people have a reason, it should be up to all relevant facts, including the negotiations, the fact that the parties had in their interactive system support their practices and behavior and then by the parties "(Article 8).
In Vietnam, around the issue by appropriate insurance, there are many different points of view including not at the point from the do not understand or intentionally do not understand how to explain the contract should make that the owners of their incited or those who buy insurance not knowledgeable in the field of law, petitions insurance business that take social stability, self insurance, the buyer also takes more time, money to pursue the case due to plaintiff. We mentioned a case as the following examples:
Nguyen Van T. Ms. Ngo Thi and K. The participation of life insurance 05 year time limit for yourself with the insurance money (STBH) stated in Appendix 1 - Section III of the contract insurance as follows:
+ STBH of the (insurance and savings)
:
20,000,000 VND
+ Terms of STBH I own
(Disability insurance whole permanently by accident)
:
20,000,000 VND
+ Terms of STBH individual II (Insurance costs surgery)
:
20,000,000 VND
To date, the Contract due to the said insurance company, life insurance PT paid to Mr. T. and Mrs. K. STBH of the Agreement for each of the 20,000,000 plus interest to share.
The advice of the Legal HV, Mr. T. and Mrs. K. made application Bao Viet Life PT payment of more STBH own terms I, II reasons for refer in Article 2 point 2.1 Terms Agreement with the record: "To date due to insurance Company will pay for the coverage of the insurance money has been committed in Appendix 1 - Section III of Insurance. "
Fact, suggested by Mrs. K. refer to the above there is no legal basis to do understand this is too rigid, machine direction "the words" without basis to explain how the contract was stipulated in Article 408 of the Civil Code in 1995 (due at the time of signing and implementing the insurance she and Mr. T. K., of the Civil Code in 2005 has not been formed so Bao Viet dismantle civil law in 1995 to like). Reasons as follows:
Firstly, the nature of the contract and I own terms, he II T. and Mrs. K. participated are completely different. The contract is the type of insurance product mixture has just savings insurance (ie the time limit have the validity of the contract if the covered person (NDBH) risks having the entire injury is permanent or fatal the insurance company will pay STBH when and if the due NDBH alive that they will receive STBH). The item I own (disability insurance whole permanently by accident) and individual II (Insurance costs surgery) is a simple insurance product risk (ie risk, only the provisions in the this particular item happens to NDBH the insurance company pay for new insurance under the terms of this particular). This is clearly explained at Article 2 separate articles I, II "amount of insurance the terms is limited to a maximum liability of the insurance company for the consequences of each risk covered happens to be covered. " This is why the number of insurance contracts to the fold many times the number of insurance in its own terms when the STBH.
Second, limited liability company's life insurance PT for purchase insurance, the coverage has been clearly assigned, separated at the benefits of insurance terms and contract terms individual I, II. Accordingly, the insurance company for payment STBH NDBH the contract due only mentioned in Article 2 of the terms of a contract of the individual in terms of I, insurance companies pay only when STBH "NDBH be injury department permanently by accident "(part III) and II own terms when NDBH be operated by illness or accident" (Article 5 Section II). If not risk, accidents during the insurance when due, NDBH not received the amount of this particular item.
Tuesday, signed the Agreement Life Insurance between the insurance company PT and Mr. T., Mrs. K. first is based on the basis of the request is insurance that Mr. Ba have declared. Right at the beginning of the required insurance has noted: "After you learn Terms, The charge by the Ministry of Finance promulgated with Decision No. ..., I agree to participate in the insurance ... and the requirements Coverage is declared full, honest information below. Also at point 2 of Part II (The insurance) required by the insurance Mr. Ba also specifies: STBH of the main terms of STBH I own, STBH terms of individual II. Thus, when shown aspirations to join the insurance, the insurance conditions are Mr., Mrs. clearly assigned, the terms of the contract and the terms of individual I, II has also been explained detailed and specific.
For the reasons above, although Article 2 point 2.1 of the Contract terms have the record: "To date due the insurance company, will pay for the coverage of the insurance money has been committed results in Appendix 1 - Section III of insurance "because the regulations only in terms of the contract (but not in terms of individual I, II) the" full amount of insurance "that he T. and Mrs. K. refer to is all and only the amount of the contract (contract 20000000) can not include STBH by the terms and can not consider this term as "unclear." The interpretation of the general and the life insurance in particular is not merely based on the text of the terms, the benefit to buy insurance that must be explained by the most relevant to the media purpose of the parties when the contract was assigned, the nature, the entire contents of the contract, and in relationship with the other.
