THE INSULAR LIFE ASSURANCE COMPANY VS.

EBRADO
A common law wife named beneficiary in a life insurance policy of a legally
married man cannot claim the proceeds thereof.
FACTS
Buenaventura Ebrado insured his own life with the ILAC and named his
common Carponia Ebrado a revocable beneficiary in his policy referring to
her as his wife. Upon his death Carponia claimed for the proceeds of the
policy as the designated benificiary with the insurer and even admitted that
she is only a common law wife Subsequently Pascuala Ebrado also claimed
for the proceeds as the widow of the deceased asserting that she is the one
entitled not the common law wife Carponia.
ILAC in doubt as to whom the insurance proceeds shall be paid commenced
an action for interpleader before the CFI. The court rendered its decision
disqualifying Carponia from becoming a beneficiary and directing the
payment to the estate of the insured.
Consequently the case was brought before the CA which certified the same
to SC as involving only questions of law.
ISSUE
Whether the common law wife which is designated as beneficiary in the life
insurance policy can claim the proceeds thereof in case of death.
HELD
Applicability of Civil Code Provisions
The civil code prohibitions on donations made between persons guilty of
adulterous concubinage applies to insurance contracts. On matters not
specifically provided for by the insurance law, the general rules on civil law
shall apply. And under article 2012 of the same code, "any person who is
forbidden from receiving any donation under article 739 cannot be named
beneficiary of a life insurance policy by the person who cannot make a
donation to him. A life insurance policy is no different from a civil donation
as far as the beneficiary is concerned, since both are founded on liberality.

As to when should adultery and concubinage should exist

It must exist at the time the paramour or concubine was made beneficiary in
the policy in question.
Burden of Evidence
Preponderance of Evidence