Haryana

Yamunanagar

CC/781/2012

Krishna Devi W/o Ram Nath Gulati - Complainant(s)

Versus

Branch Manager Bharti AXA Life Insurance Company Ltd. - Opp.Party(s)

Hari Kishan

06 Jun 2017

ORDER

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, YAMUNA NAGAR

                                                                                          Complaint  No. 781  of 2012.

                                                                                          Date of institution: 23.07.2012

                                                                                          Date of decision: 06.06.2017

Krishna Devi aged about 63 years wife of Sh. Ram Nath Gulati, resident of H. No. 2530/2, Kaji Wara, Ambala City, District Ambala (Haryana).                                                                                                                                                                                     

                                                                                                                                                  …Complainant.

                                                Versus

1. Branch Manager Bharti AXA Life Insurance Company Limited, SCO No. 132, Sector-17, Urban Estate, Jagadhri, District Yamuna Nagar.
2. Bharti AXA Life Insurance Company Limited, Unit 601-602, 6^th Floor, Raheja Titanium, Off Express Highway, Goregaon, East Mumbai-400063.
3. Ravinder Mohan @ Ravi, resident of Shastri Nagar, behind Walia Marbles, Ambala City, Tehsil & District Ambala.                                                                                                                                                                                            

                                                                                                                                                   …Respondents.

  

BEFORE:       SH. ASHOK KUMAR GARG, PRESIDENT,

                        SH. S.C.SHARMA, MEMBER.

                        SMT. VEENA RANI SHEOKAND, MEMBER.

 

Present: Sh. Hari Krishan, Advocate, counsel for complainant.   

              Sh. Arvind Bhardwaj, Advocate, counsel for respondents No.1 & 2.

              Respondent No.3 already ex-parte.

 

ORDER( ASHOK KUMAR GARG PRESIDENT)

 

1.                     Complainant Krishna Devi has filed the present complaint under section 12 of the Consumer Protection Act, 1986 amended upto date.

2.                     Brief facts of the present complaint, as alleged by the complainant, are that the complainant purchased three policies from the respondents (hereinafter respondents will be referred as OPs) and have deposited the premium to the tune of Rs. 50,000/- for each policy vide receipt dated 29.12.2008, 30.12.2008 and 30.12.2008 and the OPs have issued the deposit receipt of Rs. 1,50,000/- in total i.e. Rs. 50,000/- for each policy and assured that they will provided best services and other benefits to the complainant as per terms and conditions of the policies. The Ops have issued two policies i.e. one policy bearing No. 500-2559341 dated 09.01.2009 and payment mode was shown as annual and another policy bearing No. 500- 2559762 dated 09.01.2009 and the premium in each policies is Rs. 50,000/- and sum assured is Rs. 2,50,000/- and these policies of Bharti AXA Life Bright Stars basic plan and as per terms and conditions of the policies, the Ops have assured that the complainant is entitled to close the policies at any point of time and she will be entitled to get refund of premium paid by the complainant alongwith interest upto date of repayment. In this way, the complainant has purchased three policies but the OPs have issued only two policies and the complainant has been demanding third policy from the OPs but they put off the matter on one pretext or the other and they have not issued the third policy but they have received an amount of Rs. 50,000/- on account of premium from the said policy and all the receipts bearing No. 00310795-001 dated 30.12.2008, 0000309598-001 dated 29.12.2008 and as such the OPs even after receiving the huge amount of Rs. 1,50,000/- have not issued the policies in the name of complainant. The complainant has served a registered legal notice for refund of claim/amount of the aforesaid polices but to no effect. Lastly, prayed for directing the OPs to refund the amount deposited by her i.e. Rs. 1,50,000/- alongwith interest at the rate of 18% per annum and further to pay compensation as well as litigation expenses. Hence, this complaint.

3.                     Upon notice, OPs No.1 & 2 appeared and filed its written statement jointly whereas OP No.3 failed to appear despite service, hence he was proceeded ex-parte vide order dated 10.12.2012.

4.                     OPs No.1 & 2 filed its written statement by taking some preliminary objections such as present complaint has been filed by the complainant only to injure the goodwill and reputation of OPs; alleged cause of action relates to December 2008 whereas the present complaint has been filed in August, 2012 i.e. beyond statutory period of limitation of two years provided under section 24-A of Limitation Act. Therefore, the complaint is hopelessly time barred; the complainant has concealed the material facts and documents from this Hon’ble Forum as well as OPs. Therefore, the complainant is not entitled to any relief. The complainant has concealed the facts that the complainant has received the policy document under policy No. 500-2560067 alongwith her two other policies bearing No. 500-2559341 & 500-2559341. The complainant after fully understanding and submitting the illustration of benefits and also the proposal forms had duly signed proposals for insurance under policy Nos. 500-2559341, 500-2559341& 500-2560067. The policies were duly issued as per details given in the proposal forms and premium was also fixed as illustrated and mentioned in illustration of benefits and proposal form. The complainant has also concealed the fact that the complainant did not pay the premiums due against policies stated above in the year 2009, 2010 and 2011 and which lapsed consequently. The policies issued to her are terminated due to non-payment of premium under section 4.4(a) of the Policy Bond and on merit it has been denied that the OPs have issued only two policies whereas the OPs have issued all the three policies and had also dispatched the same to the address provided by the complainant in the proposal for insurance. It has been further denied that the complainant had demanded the amount of Rs. 1,50,000/- alongwith interest from the OPs. It is further denied that any unfair trade practice has been followed by the OPs and controverted the plea taken in the complaint and reiterated the stand taken in the preliminary objections and lastly prayed for dismissal of complaint.

5.                     To prove the case, counsel for the complainant tendered into evidence affidavit of complainant as Annexure CW/A and documents such as Photo copies of deposit receipt not readable as Annexure C-1 & C-2, Photo copy of deposit receipt of Rs. 50,000/- dated 10.12.2008 as Annexure C-3, Photo copy of offer letter as Annexure C-4, Photo copy of consent letter as Annexure C-5, Photo copies of letter dated 09.11.2011 intimation for lapse of policy as Annexure C-6 and C-7, Photo copy of letter dated 22.12.2011 intimation for lapse of policy as Annexure C-8, Photo copy of letter dated 24.04.2012 for refund of claim of policy bearing No. 500-2560067, 500-2559341 and 500-2559762 as Annexure C-9, Photo copy of letter dated 07.01.2012 for refund of deposited amount alongwith interest as Annexure C-10, Photo copy of letter for demanding documents alongwith proposal form  as Annexure C-11 and closed the evidence on behalf of complainant.

6.                     On the other hand, counsel for the OPs No.1 & 2 tendered into evidence affidavit of Salil C. Nair, Vice President & Head-Legal, Bharti AXA Life Ins. as Annexure RW/A and documents such as Photo copy of proposal form as Annexure R-1, Photo copy of declaration in lieu of identity or address proof as Annexure R-2, Photo copy of illustration of benefits and premiums payable as Annexure R-3, Photo copy of offer letter as Annexure R-4, Photo copy of nominee letter as Annexure R-5 and closed the evidence on behalf of OPs No.1 & 2.   

7.                     We have heard the learned counsel for both the parties and have gone through the pleadings as well as documents placed on file very minutely and carefully.

8.                     It is not disputed that the complainant obtained three (3) insurance policies of Bharti AXA Life Bright Stars Basic Plan bearing No. 500-2559341, 500-2559762 & 500-2560067 on 09.01.2009 from the OPs and deposited the premiums of Rs. 50,000/- of each policy which is duly evident from the copy of receipt Annexure C-1 to C-3.

9.                     The only version of the complainant is that due to poor financial condition, he could not deposit the further installments and requested to the OPs Insurance Company to refund the entire amount of three insurance policies of Rs. 50,000/- each i.e. total amount of Rs. 1,50,000/- from the OPs Insurance Company but the Ops Insurance Company refused to refund the same which constitute the deficiency in service and unfair trade practice on the part of OPs.

10.                   On the other hand, learned counsel for the OPs argued at length that the complainant is bound by the terms and conditions of the Insurance Policy in question as the complainant has purchased the policy after fully understanding and submitting the illustration of benefits and also the proposal forms had duly signed proposals for insurance under policy No.s 500-2559341, 5002559341 and 500-2560067 and the complainant did not pay the premiums due against policies in the year 2009, 2010 and 2011 and which lapsed consequently. Learned counsel for the OPs No.1 & 2 further argued that if the policy is not reinstated during the reinstatement period, the policy will stand terminated and the policy fund value as at the expiry of reinstatement period net of Surrender charge as on the lapse date shall be payable at the completion of the third policy year or at the end of the reinstatement period whichever is later. Learned counsel for the OPs No.1 & 2 further argued that the OPs have acted strictly in accordance with the terms and conditions and as such neither there is anything illegal nor any deficiency in service and lastly prayed for dismissal of complaint and referred the case law titled as Somashekhar G Versus ICICI Bank and others, 2013(III) CPJ Page 577, Ram Lal Aggarwalla Versus Bajaj Allianz Life Insurance Co. Ltd. & Another, 2013(III) CPJ page 203 NC, Avtar Singh Dhillon Versus HDFC Standard Life Insurance Company Ltd. & Others, 2012(III) CPJ page 133 and Gurmail Singh Versus Aviva Life Insurance Company India Ltd. & 3 others, Revision Petition No. 1051 of216 decided on 13.01.2017.

11.                   After hearing both the parties, we are of the considered view that there is a deficiency in service and unfair trade practice on the part of OPs No.1 & 2. As from the perusal of entire facts and circumstances mentioned in the complaint, it is clear that complainant has moved from pillar to post to get the entire amount deposited with the OPs No.1 & 2 Insurance Company but nobody listened to him. We generally see that when we go to a bank, insurance company or any other institute there are voluminous of documents which are required to be signed by the concerned person and it is also seen that every documents which is got signed is not humanly possible to be gone through by the concerned person, undue benefits is taken of this situation. Similarly seems to be the position in the case in hand and there is every possibility that signature of the complainant had been taken in this manner. The complainant has filed the present complaint on 23.07.2012 but even then the OPs No.1 & 2 till date have not disclosed before this Forum that the complainant is entitled to which amount. Even, the official of the OPs No.1 & 2 did not bother to file any affidavit disclosing the paid up value against the policy in question. The complainant has hired the services of the OPs Insurance Company just to invest her hard money for her livelihood and the Ops Insurance Company might have charged some amount on account of services charges, stamps duties etc. so it was the duty of the OPs Insurance Company to provide proper and correct information to the complainant from time to time but they did not do so. Even, the OPs Insurance Company has also not disclosed in their written statement that where the amount so deposited by the complainant was invested by the OPs Insurance Company and what was the fate of the amount. Every person hires the services of another person just taking into consideration that the other person is more qualified and competent in the market and he will do best to save his hard money even multiply the same. But, now a days, Ops Insurance Companies are playing tactics and getting undue benefits of the terms and conditions of the Insurance policies incorporated in the policy documents as per their own wishes. The case law referred above by the counsel for the Ops are not disputed but not helpful in the present case.

12.                   Resultantly, in the circumstances noted above and in the interest of justice and equity, we direct the OPs Insurance Company to refund an amount of Rs. 35,000/- each against all three (3) insurance policies i.e. total Rs. 1,05,000/- out of total Rs. 1,50,000/- (after deducting Rs. 45,000/- on account of office expenses, commission of agents, stamp duty, service charges etc. whatsoever), alongwith interest at the rate of 7% per annum from the date of filing of complaint till its realization. Parties are left to bear their own costs. Order be complied within a period of 30 days after preparation of copy of this order failing which complainant shall be entitled to invoke the jurisdiction of this Forum as per law. Copies of this order be sent to the parties concerned free of costs as per rules. File be consigned to the record room after due compliance.

Announced in open court. 06.06.2017.

                                                                                    (ASHOK KUMAR GARG )

                                                                                     PRESIDENT,

 

                        (VEENA RANI SHEOKAND)         (S.C. SHARMA )

                         MEMBER                                          MEMBER.