Citizens' Nat. Life Ins. Co. v. Egner

• Decision Date: 17 December 1915
• Citation: 167 Ky. 476,180 S.W. 778
• Parties: CITIZENS' NAT. LIFE INS. CO. v. EGNER.
• Court: Kentucky Court of Appeals

180 S.W. 778

167 Ky. 476

CITIZENS' NAT. LIFE INS. CO. v. EGNER.

Court of Appeals of Kentucky.

December 17, 1915

Appeal from Circuit Court, McCracken County.

Action by Peter Egner, executor, against the Citizens' National Life Insurance Company. Judgment for plaintiff, and defendant appeals. Affirmed.

Wheeler & Hughes, of Paducah, for appellant.

Berry &amp Grassham, of Paducah, for appellee.

MILLER C.J.

By its policy dated November 17, 1913, the appellant insured the life of James M. Egner, of Paducah, in the sum of $1,000 payable to Mary A. Egner, his wife, upon the death of the insured. The policy called for a monthly premium of $1.42 payable upon the 17th day of each month, with 30 days' grace. The premiums due on November 17, and December 17 1913, were paid, when due; but the premium due on January 17, 1914, was not paid when due, or within 30 days thereafter, but was paid under the following circumstances: On Monday, February 16, 1914, Carl Hank, the collector for the company, called on Mrs. Egner, at her home, for the purpose of collecting the premium which had been due since January 17th. Hank told Mrs. Egner that the policy would lapse if the premium was not paid by the next day, which would be the 17th of February. She answered him by saying that she did not have the money, but that she would try to get it; and that Mr. Egner, the insured, was sick, and in the city hospital. Upon Mrs. Egner's saying that she would try to get the money, Hank told her he would wait upon her and postpone the collection until the next Monday, which would be the 23d of February. Mrs. Bettis, a neighbor, was present during this conversation, and testified concerning it, as above stated. On Wednesday, the 18th, Hank and Ezell, the local superintendent at Paducah, went to Anchorage, Ky. the home office of the company, and did not return to Paducah until the night of Saturday, the 21st. In the meantime, Mrs. Egner procured $2.84 and gave it to Mrs. Bettis on Friday, February 20th, with a request that she deliver it to the company in payment of the two monthly premiums that were due January 17th, and February 17th, respectively. Mrs. Bettis, in turn, handed the money to Lewis, with a request that he take it to the office; but, instead of taking it to the office, Lewis turned the money over to Boyd, who was in the service of the company, and with whom Lewis was acquainted. Before accepting the money, however, Boyd telephoned to Orr, another agent, at the company's office, and inquired of Orr if he should receive the money. Orr replied by directing Boyd to receive the money and give his personal receipt for it, saying that the company's receipt would be forwarded later. Boyd gave his personal receipt for the $2.84, and on the morning of the next day, which was Saturday, February 21st, Boyd paid the money to Miss Weatherford, the clerk in charge of the office, and she gave him the company's receipts, which were returned to Mrs. Egner. James M. Egner, the insured, died on the next day, Sunday, February 22d.

This action was begun by Mary A. Egner, the widow; but, she having died before the trial, it was revived in the name of her administrator, Peter Egner, who is the appellee here. By its answer, the company relied upon a provision of the policy which...