DAYS OF GRACE. The extra time allowed to meet the payment of a bill of exchange after its due date. In English law, three days grace are thus allowed. No extra time is allowed, how ever, for a bill payable at sight. In the case of insurance pre miums, also, days of grace are allowed before the policy actually expires. In the United States days of grace in all bills of exchange have been abolished by the Negotiable Instruments Law, except in a very few States, as to sight drafts. (See BILL OF EXCHANGE; INSURANCE.)