THE CONSUMER DISPUTES REDRESSAL FORUM, KOZHIKODE.
C.C.296/2009
Dated this the 29th day of April 2014.
( Present: Sri. G. Yadunadhan, B.A., LLB. : President)
Sri. L. Jyothikumar, B.A., LLB. : Member
Smt.Beena Joseph, M.A : Member
ORDER
By L.Jyothikumar, Member:
The petition was filed on 10.07.2009.. This is a complaint filed under section 12 of the Consumer Protection Act, for an order directing the opposite party to refund Rs.1,05,000/- with Rs.50,000/- for damage and mental agony suffered and compensation of Rs.25,000/-.
The case of the complainant is that she has taken a policy from opposite parties No.NSG1179059 dated 14.05.2005 by remitting an amount of Rs.60,000/- as premium. The sum assured for the policy was Rs.6,00,000/-. Opposite party issued a receipt for the payment on 24.05.05. Before the due date for remittance of the second premium the complainant had contacted the opposite parties and requested them to allow her to pay the premium in installments. Complainant’s request was accepted by the opposite parties. So complainant deposited an amount of Rs.45,000/- as premium on 22.01.2007. On 04.09.2007 the opposite parties issued a letter informing the complainant that her policy has lapsed due to non payment of premium. Even though the complainant was ready to pay the balance premium amount of Rs.15,000/-, the opposite parties refused to receive the amount so the policy got lapsed. Then the complainant requested to pay the total amount of Rs.1,05,000/- paid by her towards the premium. But opposite parties were not take any steps to redress the grievances of the complainant. So the complainant has suffered mental, financial hardship. Hence this petition.
In pursuance of the notice issued by the forum opposite parties appeared and filed their version denying the allegation in the complaint except those that are expressly admitted. The opposite parties have never allowed the complainant to make the premium payment in installments. According to opposite party as it is not acceptable as per the terms and conditions of the policy. The complainant’s policy got lapsed only due to the non-payment of premium. The complainant himself is responsible for the same. There is no deficiency of service on the part of the opposite parties and complainant is not enabled to get any relief in this case. Hence the complaint is liable to be dismissed..
The only point for consideration is whether the complainant is entitled for any relief?
Complainant filed Proof Affidavit in lieu of examination in-chief. Ext.A1 to A5 were marked on the side of the complainant. Neither oral evidence nor any documentary evidence was adduced by opposite parties.
The complainant alleges that before the due date for remittance of the second premium the complainant had contacted the opposite parties to allow her to pay the premium in installments. The complainant’s request was accepted by the opposite parties. Complainant deposited an amount of Rs.45,000/- instead of Rs.60,000/- as premium on 22.01.2007. After 9 months of receiving the part payment of Rs.45,000/- issued a letter informing the complainant that her policy had lapsed due to non payment of premium. Opposite party refused to receive the balance amount of Rs.15,000/-. So complainant had approached the opposite parties to refund the amount of Rs.1,05,000/- collected from the complainant with interest. But opposite parties had not taken any steps to redress the grievances of the complainant. Forum has verified the documents and looked into all aspects put forward by both sides. Before closing the policy opposite parties did not informed the complainant regarding the balance payment of premium. Non receiving the balance amount of Rs.15,000/- by opposite parties was deliberate for foreclosing a policy is more profitable for the opposite party. Opposite parties had not taken much interest to help the aggrieved consumer to get redressed. We are of the opinion that there is unfair trade practice on the part of the opposite parties for which they are liable to refund the entire amount of Rs.1,05,000/-(Rupees One lakh five thousand only) along with Rs.5000/-(Rupees five thousand only) as compensation and Rs.500/-(Rupees five hundred only) as cost.
In the result complaint is allowed and directing the opposite parties to refund Rs.1,05,000/-(Rupees one lakh five thousand only) along with Rs.5000/-(Rupees five thousand only) as compensation and Rs.500/-(Rupees five hundred only) as cost of this proceedings. Comply the order within one month from the date of receipt of the order. Failing which complainant is entitled 9% of interest from the date of order till realization.
Pronounced in the open court this the 29th day of April 2014.
Date of filing:10.07.2009.
SD/-PRESIDENT SD/- MEMBER SD/-MEMBER
APPENDIX
Documents exhibited for the complainant:
A1. First premium receipt issued by Aviva Life Insurance dtd.14.07.2005.
A2. Letter issued by the opposite party to the complainant dtd.15.07.2005
A3. Payment receipt forRs.45,000/- Issued by the opposite party to the complainant
A4. Letter issued by the opposite party informing about the lapsed policy dtd.04.09.2006
A5. Policy document issued by the opposite party
Document exhibited for the opposite party:
Nil
Witness examined for the complainant:
Nil
Witness examined for the opposite party:
None
Sd/-President
//True copy//
(Forwarded/By Order)
SENIOR SUPERINTENDENT
