Chandigarh

DF-II

CC/569/2015

Surjeet Singh - Complainant(s)

Versus

Bharti AXA Life Insurance Company Limited - Opp.Party(s)

Ivneet Singh Pabla

10 Apr 2017

ORDER

DISTRICT CONSUMER DISPUTES REDRESSAL FORUM-I

U.T. CHANDIGARH

 

Consumer Complaint No.	:	569 of 2015
Date of Institution	:	6.10.2015
Date of Decision	:	10.4.2017

 

                                                

                                     

 

 

Surjeet Singh resident of House No.675A, Village Baban, Tehsil Thanesar, District Kurukshetra, Haryana.

 

                                      ...  Complainant.

Versus

 

1.      Bharti AXA Life Insurance Company Limited through its Managing Director, Unit No. 601& 602, 6^th floor, Rahja Titarium Off Western Express Highway, Goregaon (E) Mumbai 400063.

 

2.      Bharti AXA Life Insurance Company Limited through its Branch Manager, SCO No.28-29-30, Second floor, Sector 9D, Madhya Marg, Chandigarh.

 

…. Opposite Parties.  

Consumer Complaint No.	:	570 of 2015
Date of Institution	:	6.10.2015
Date of Decision	:	10.4.2017

 

                                               

                                     

 

 

Surjeet Singh resident of House No.675A, Village Baban, Tehsil Thanesar, District Kurukshetra, Haryana.

                                      ...  Complainant.

 

Versus

 

1.      Bharti AXA Life Insurance Company Limited through its Managing Director, Unit No. 601& 602, 6th floor, Rahja Titarium Off Western Express Highway, Goregaon (E) Mumbai 400063.

 

2.  Bharti AXA Life Insurance Company Limited through its Branch Manager, SCO No.28-29-30, Second floor, Sector 9D, Madhya Marg, Chandigarh.

 

…. Opposite Parties. 

 

 

BEFORE:   RAJAN DEWAN                          PRESIDENT

MRS.PRITI MALHOTRA              MEMBER

SH. RAVINDER SINGH               MEMBER

 

 

For Complainant	:	None.
For OP No.1	:	Exparte

For OP No.2          : Sh. Gaurav Bhardwaj, Adv

 

Ravinder singh, MEMBER

1.           By this order we propose to dispose of the above mentioned two connected consumer complaints in which common questions of law and fact are involved.
2.     The facts are gathered from Consumer Complaint No.569 of 2015 – Surjeet Singh Vs. Bharti Axa Life Insurance  and anr.
3.     As per the case, the complainant on the allurement of the OPs that he will get huge return on investment with them, purchased a policy after paying a premium of Rs.50,000/-.  The said policy was issued on 30.4.2014. The OPs did not issue any policy documents to the complainant. After waiting sometime the complainant on 10.5.2014 moved a representation to the OPs for cancellation of the policy and requested for refund of the premium amount but in vain. The complainant was not aware of the fact that  as per rules that a person can seek cancellation of the policy within the free look period starts from delivery of the policy documents but in the instant case the policy documents were not delivered to the complainant.  It is pleaded that the complainant even in order to get the refund filed complaint before the insurance Ombudsman but the OPs get the same dismissed on misrepresentation.  Alleging the said act of OPs as deficiency in service, this compliant has been filed.

 

4.     The OP No.2 in its reply stated that  after receipt of duly proposal form alongwith requisite documents and premium amount the complainant was issued the policy in question. It is pleaded that as per clause 6(2) of the Insurance Regulatory and Development Authority (Protection of Policy Holder’s Interest)  Regulations 2002 every policy document sent by it is accompanied by a forwarding letter which clearly mentions that in case policy holder is not satisfied with the features or the terms and conditions of the policy he can withdraw/return the policy within 15 days i.e. under free look period provision.  However, in the instant case the complainant retained the policy documents and did not approach the OPs during the free look period or even after that with any of his grievance regarding the policy or its terms and conditions as such the complainant agreed to the policy and its terms and conditions.  It is further asserted that the complainant only paid one premium and thereafter he did not pay any other renewal premiums in spite of receiving renewal premium notice.  It is due to failure on the part of the complainant to pay renewal premium regularly the policy entered into lapsed mode.  Thus, there is no deficiency on the part of the  answering OP.  Denying any deficiency in service on its part, prayer for dismissal of the complaint has been made.
5.           Contesting parties led evidence in support of their contentions.
6.     We have heard the learned Counsel for the contesting parties and have gone through the entire documents on record.
7.     The complainant took policy number 501-2008461, Bharti Axa Life Secure Income Plan and signed the proposal form on 14.4.2014 on payment of premium of Rs. 50,000.13 as is apparent from firs premium receipt at page 39 of the paper-book. The OPs issued thereby policy on 30.4.2014 with policy effective date/commencement date on 28.4.2014.
8.     Admittedly, the OPs have dispatched policy documents including detail terms and conditions vide letter (Annexure R/4). The OPs stated to have dispatched all the documents only on 15.5.2014 which was delivered to Surjeet Singh, the complainant on 20.5.2014. Explicitly, the policy documents which includes policy terms and conditions delivered to the complainant on 20.5.2014 after signature/acceptance of proposal on 14.4.2014 and issue of policy by OPs on 30.4.2014. The OPs have not disclosed all details/terms and conditions of the policy to the complainant before acceptance/signature of proposal form from the complainant. The OPs definitely have suppressed material facts, which amounts to deficiency in service as well as unfair trade practice on their part.
9.     The complainant has applied for cancellation of policy vide his letter dated 10.5.2014 (Annexure
   C-2)   but despite his request, the OPs have taken no step to cancel the policy and did not pay back the amount of premium which they have received from the complainant. The action on the part of OPs in not paying back the amount to the complainant is confiscatory in nature and is illegal too, which warrants severe action.
10.     The complainant though had the option to apply for cancellation of policy within 15 days (free look period) from the date of receipt of policy documents on 20.5.2014 but he has requested for cancellation on 10.5.2014 i.e. much before the given time.
11.     The OPs cannot be permitted to grab the hard earned money of the innocent persons. The policy terms and conditions  cannot be thrust upon the complainant to continue the policy despite his timely option for cancellation of same.
12.     Keeping in view the facts in view as elaborated above, this complaint bearing No. 569 of 2015 Surjeet Singh Vs Bharti Life Insurance Company Ltd. and anr.  is allowed with directions to the OPs to refund Rs. 50,000.13 with interest @6%p.a. from the date of cancellation request i.e. 10.5.2014.
13.           Similar facts have been pleaded in the other complaint bearing No.570 of 2015 Surjeet Singh Vs. Bharti Life Insurance Company Ltd. and anr.  wherein the policy No. is 501-2019088. Therefore, in that case also, deficiency in service as well as unfair trade practice is proved and accordingly the same is also allowed with the direction to the OPs to refund Rs. 50,000.07 with interest @6%p.a. from the date of cancellation request i.e. 10.5.2014.
14.     The above said order shall be complied with by the OPs in the both cases within 30 days from the date of receipt of certified copy of this order.
15.           A copy of this order be placed in connected consumer Complaint No.570 of 2015 – Surjeet Singh Vs. Bharti Life Insurance Company Ltd. and anr., which shall be deemed to form a part of that order.

        Certified copy of this order be communicated to the parties, free of charge. After compliance file be consigned to record room.

Announced

10.4.2017                                                                         sd/-

(RAJAN DEWAN)

PRESIDENT

 

Sd/-

 (PRITI MALHOTRA)

MEMBER

 

Sd/-

(RAVINDER SINGH)

MEMBER