The insured died accidentally when a cocaine-filled condom burst in his stomach.
The appellant insurer refused to pay the life insurance proceeds to the respondent, the insured's former spouse and designated innocent beneficiary, arguing that public policy prevents a person from insuring against their own criminal act.
The Supreme Court of Canada held that the public policy rule preventing a criminal from profiting from their crime does not apply to an innocent beneficiary claiming in their own right, rather than through the criminal's estate.
The appeal was dismissed, and the respondent was entitled to the insurance proceeds.
