July 9, 1965, the day after the policy expired by Aetna's reasoning, it accepted a $16 premium payment, $11 of which it kept until after the accident of October 16, 1966. More significant, the company had a fixed policy to accept premium payments during a "grace period" after (if its rationale is to be accepted) the policy expired. Under these facts, and as bearing on whether the policy was one of fixed duration or whether it was for a term indefinite or continuing in nature, the rationale of this court in Conrad v. Midwest Coal Co., 231 Iowa 53, 300 N.W. 721 (1941) modified, 3 N.W.2d 511 (1942) is persuasive. There the company contended the policy was written solely for the period between August 12, 1937 and Sept. 1, 1937 and as the policy had lapsed, it had no liability for an accident on Sept. 9, 1937. The policy provided for further extension or renewal upon payment of premium on or before ten days after the end of the term.
" In Conrad v. Midwest Coal Co., 231 Iowa 53, 300 N.W. 721, 3 N.W.2d 511, the insurance carrier contended before the commissioner its policy was not in effect because of a change in personnel of the insured employer-partnership (a claim frequently made in such cases), failure of the claimant-workman to take alleged necessary steps to come under its terms and lapse of the policy due to nonpayment of premium. Our opinion, modified upon rehearing, contains no hint the commissioner was without jurisdiction to hear and determine these questions.
Indeed, we think the policy could not be forfeited for nonpayment of premium if the insurance company at the time were in any way indebted to the insured in an amount equal to or greater than the amount owing for the payment of the premium. Conrad v. Midwest Coal Co., Iowa, 3 N.W.2d 511. We have considered all other contentions urged by defendant but think them without merit.
”); Morrison v. Century Eng'g, 434 N.W.2d 874, 877 (Iowa 1989) (“The system is designed to be essentially nonadversarial.... [It] presupposes that all workers will benefit more if claims are processed routinely and paid quickly.”); Conrad v. Midwest Coal Co., 231 Iowa 53, 64, 300 N.W. 721, 727 (1941) (noting the workers' compensation system “was adopted by our legislature as a means of avoiding lengthy litigation that might grow out of industrial accidents”).Larson explains the essence and mutual benefit of these tradeoffs:
The contention of Frank's is that it was only a creditor of Hoffman and all that it did in the way of handling the business of Hoffman was in this capacity and under no consideration could it be held as an owner of the business or in partnership with Hoffman. If this was the extent of Frank's activity doubtless such contention would be upheld. Conrad v. Midwest Coal Co., 231 Iowa 53, 59, 60, 300 N.W. 721, 3 N.W.2d 511; and Buhler v. Maddison, 105 Utah 39, 140 P.2d 933, 937. After Exhibit 1 was entered into, Frank's purchased some truck tractors and leased them to Hoffman.
[4] We have held the law and the insurance policy must be liberally interpreted to protect the employee. Conrad v. Midwest Coal Co., 231 Iowa 53, 300 N.W. 721, supplementary opinion 3 N.W.2d 511. So far as the rights of the workman are concerned we think the provisions of the law are a part of the policy whether written into it or not and even when (as here, apparently) the written terms imperfectly or inadequately state the nature and extent of the employment to be covered. Any such inadequacy or imperfection, due to possible misunderstanding between employer and insurer, may conceivably be the subject of litigation between them but cannot affect the rights of the employee. We have held his rights cannot be enlarged by the terms of the policy.