Nancy L. Bigjoe v. Pioneer American Insurance Company

The appellant, Nancy Bigjoe, is the surviving spouse of John S. Bigjoe and the named beneficiary under a life insurance contract that had existed between her husband, the insured, and the appellee insurer (Pioneer). Pioneer, a Texas company qualified to do business in the State of Washington, had issued a policy upon the life of the insured in the amount of $10,000 with a provision for double indemnity in the event of his accidental death. The insured was required to pay monthly premiums of $20.-69 which were due on the fourteenth day of each month. The policy granted a thirty-one day period of grace in which to pay an overdue premium, and specified that “[f]ailure to pay any premium when due or within the period of grace provided shall cause this Policy immediately to become void * *

The policy was issued on May 14, 1967. The insured did not meet the premium which was due on February 14, 1969, but on March 10th thereafter, the appellant mailed a check covering premiums for both February and March. This cheek was presented for payment on March 19th, and was returned to Pioneer with the bank’s notice of its dishonor for insufficient funds (NSF). This check was a conditional…