This complaint coming up before us for hearing on 06-05-2014 in the presence of Sri M.D.Luther Babu, advocate for complainant and of                           Sri Y.Venkateswara Reddy, Advocate for  1^st opposite party, 2^nd & 3^rd opposite parties set exparte upon perusing the material on record and having stood over till this day for consideration this Forum made the following:-

O R D E R

Per Smt. T.SUNEETHA , MEMBER

            The complainant filed this complaint u/s 12 of the Consumer Protection Act seeking directions on the opposite parties to pay a sum of Rs.1,98,977/- towards insurance balance amount, compensation and costs of the proceedings.

2.   In brief the averments of the complaint are these:

          The complainant obtained two policies from the opposite parties by paying Rs.99,850/- under receipts bearing No.WC000957252, dated  10-08-09 for Rs.50,000/-  and WC 0004961810 dated 10-08-09 for Rs.49,850/-.  The opposite parties issued bonds for the policies with Nos.15042756 and 15046832 respectively. At the time of obtaining the policies the 2^nd & 3^rd opposite parties showed a chart and told that the amount will be doubled after 3 years.  According to chart the complainant would receive Rs.86,708/- at the time of maturity.

        After completion of 3 years of time the complainant approached the opposite parties with all the material papers to settle the policy amount.  But surprisingly the 1^st opposite party stated that the complainant would receive only Rs.25,000/- for each policy.  The complainant approached the opposite parties for several times.  But the opposite parties are postponing the matter one some pretext or the other.  The complainant issued legal notice to the 1^st, 2^nd and 3^rd opposite parties.  The 1^st and 3^rd opposite parties received the notice and kept quite and the 2^nd opposite party refused to take the legal notice.  As per the terms and conditions of the policy the complainant is entitled to receive Rs.2,00,000/- from two policies.  1^st opposite party called the complainant and insisted him to receive policies amounts stating that if the complainant did not receive the policies amounts the rest of the amounts are lapsed.  The complainant believed the words of the 1^st opposite party and received an amount of Rs.26,234.15ps under policy No.15042756 and Rs.25,789.30ps under policy No.15046832 on 29-05-2013.

        The 1 to 3 opposite parties knowingly cheated the complainant because the complainant received only Rs.26,000/- and Rs.25,000/- instead of receiving Rs.1,00,000/- each i.e. Rs.2,00,000/-.  The opposite parties committed deficiency of service by not settling the claim as per the chart shown by them.  Hence the complaint.

3.      Version filed by the 1^st opposite party which is in brief as follows:

          The contention of the complainant is not legally sustainable.  There was no misrepresentation of the policy.  The complainant availed 10 years policy,  by name Reliance Super Invest Assure plus plan vide policies Nos.15042756 and 15046832 with effect from            19-08-2009 and 20-08-2009 respectively with annual premium of Rs.50,000/- each.  The complainant is well aware that the policies opted by him are unit linked policy and the premium paid towards the polices shall be invested in various funds chosen by him and the return on such investment or solely based on the performance on such funds in the market and the same are subject to market risk and return on investment depends on the fluctuations in the market.    

        The policy was issued based on the proposal form which is duly signed and submitted by the complainant.

        Accordingly to the clause 3.3.3.1 of the terms and conditions of the policy upon surrender of the policy, the policy holder is entitled to surrender value of the policy which is equal to the policy holder’s total fund value less surrender charges. 

         “policy holder may surrender the policy any time after payment of the First premium by giving notice in writing to the Company.  However it shall be payable only after completion of three policy anniversaries …………The surrender value of the policy in such even shall be equal to the policy holders total fund value, less surrender charges as such in Annexure “A’. 

        Since the complainant defaulted in the payment of premium the policy was lapsed and auto surrendered after 3 years.  The complainant made request for release of surrender value on 22-05-13 and the opposite party without delay released surrender fund value of Rs.26,234/- and Rs.25,789/- to the complainant on 28-05-13 respectively.  The opposite party has acted in accordance with the terms and conditions of the policy opted by the complainant.  It was held by the Hon’ble Supreme Court in Export Credit Guarantee Corporation of India, Ltd.,  Vs. Garg sons International 2013 (1) SCALE 410, that while construing the terms of the contract of the insurance the Court must give paramount importance to the terms used in said contract. 

        The complainant received the fund value and there is no deficiency of service on the part of opposite party.  Therefore, the complainant is not entitled to any relief.  The Hon’ble Forum may be pleased to dismiss the complaint with costs.

4.     The 2^nd & 3^rd opposite parties were set exparte.

5.      The complainant and 1^st opposite party filed their respective affidavits. Exs.A-1 to A-8 were marked on behalf of the complainant and   no documents were marked on behalf of opposite parties.

6. Now the points that arose for consideration in this complaint are:

 1. Whether the complainant is a consumer under purview of                                                                                                                                                                

      Consumer     Protection Act, 1986?

 2.  Whether the opposite parties committed deficiency of service?

 3.  To What relief?

7. POINT NO.1:-The allegation of the complainant is that the opposite parties having received premium amount for two policies amounting to Rs.99,850 /- (Rs.50,000/- & 49850/­-each) saying that the amount would be doubled after three years, have settled the policy amount for a less amount than paid premium i.e., Rs.52023.45ps (Rs.26234.15 for policy No.15042756 + 25789.30 for policy No.15046832).

The opposite parties contended that the complainant is defaulter and denied the complainants status as consumer for the reason that the policy opted by complainant is Super Invest Assure Plus Plan.  They further alleged that the complainant was well informed about the terms and conditions of the policy and was given 15 days time to take a decision on the continuation of the policy.

The opposite parties have forwarded two letters to the complainant (ExA4 & ExA5)dated 19-08-09 with contract No.15042756 & 20-08-09 with contract No. 15046832 with same content which is as below :

We request you to preserve the policy document as it is required at the time of a claim.  Your policy provides certain guaranteed and non-guaranteed benefits as indicated in the Benefit illustration.  The illustrations are based on different assumed investment returns and charges.  These illustrative returns are subject to change based on actual investment performance over the duration of the policy term. 

If for any reason you wish to opt out of this Plan, you may do so by returning the policy documents within 15 days of receiving it, in which case the company will refund an amount equal to the non allocated premium plus the charges levied by the cancellation of units plus Fund Value as on the date of receipt request in writing for cancellation, less mortality charges for covered risk period and expenses incurred by the company on medical examination and stamp duty charges. 

We are delighted to bring to you the convenience of Lifeline- your personal online account with Reliance Life.  Your Lifeline account provides you a one-window access to any information related to your policies.  What’s more, it allows you to conduct transactions such as premium payments, fund switches, premium redirection, account information changes and a lot more at your convenience anytime, anywhere

The opposite parties received the two premium amounts on               10-08-09 for Rs.50,000/-(ExA-2) by way of cash under receipt No.WC0004957252 and Rs.49,850/-(ExA-3) under D.D.No.661930 under receipt No.WC0004961810 from the complainant.

The complainant did not withdraw from the policies inspite of the above letters .

        The opposite parties filed a decision given by National Consumer Disputes Reddressal Commission, New Delhi on 23-04-13 in Ramlal Aggarwalla Vs.Bajaj Allianz Life Insurance Co.Ltd., (RP.NO.658of2012) in which it was held that if the policy had been taken for investment of the premium in share market which is for speculative gain, the complainant would not come within the purview of Consumer Protection Act, 1986 and consumer complaint is not maintainable.

      As in the above case the complainant’s policies were of speculative nature the complainant would not fall under Consumer Protection Act,1986.

The complainant did not file any citation in contra .Therefore in view  of above citation the present complaint would not come under the purview of Consumer Protection Act, 1986.

8.      POINT NO. 2:-  Since, the present complaint would not fall under the Consumer Protection Act, 1986 and is not maintainable in Consumer Fora.  In view of the answer given in point No.1 this point need not be answered.

9.      POINT NO. 3:- In light of the above citation, the complainant in the present case is not consumer and the complaint filed by him will not fall under the purview of Consumer Protection Act, 1986.  The complainant is not entitled to any compensation. 

10.    In the result, the complaint is dismissed without costs.

Typed to my dictation by Junior Steno, corrected by me and pronounced in the open Forum dated this the  21^st  day of May, 2014.

Sd/-XXX                        Sd/-XXX                        Sd/-XXX

MEMBER                        MEMBER                       PRESIDENT

APPENDIX OF EVIDENCE

DOCUMENTS MARKED

For Complainant:

For opposite parties:    NIL

Sd/-XXX

        PRESIDENT

NB:   The parties are required to collect the extra sets within a month after receipt of this order either personally or through their advocate as otherwise the extra sets shall be weeded out.