District Consumer Disputes Redressal Forum, Tarn Taran.

Consumer Complaint No: 54 of 2014

Date of Institution: 08.08.2014

Date of Decision: 10.03.2015

Gian Kaur widow of Piara Singh, resident of Village: Khadoor Sahib, District Tarn Taran.

                                                                   …Complainant

Versus

1. Gramin Vikas Bank, Branch Takhtuchak, Tehsil: Khadoor Sahib, District Tarn Taran through its Manager.
2. Bajaj Allianz Insurance Company Limited, having its District Office Opposite Tarn Taran Central Co-operative Bank Limited, Main Bazar, District Courts, Tarn Taran through its Manager.

…Opposite Parties

Complaint Under Section 12 and 13 the Consumer Protection Act.

For the Complainant                         : Sh.H.S.Sandhu, Advocate

For the Opposite Party No.1            : Sh. S.S.Sandhu, Advocate

For the Opposite Party No.2.        : Sh.S.K.Vyas, Advocate

Quorum:               Sh. S.K. Goel, President

Sh. R.D. Sharma, Member

Smt.Jaswinder Kaur Dolly, Member

Order dictated by Sh. R.D.Sharma, Member

1. The complainant has  filed  the present complaint  under Section 12 and 13 of the Consumer  Protection  Act   (for short      ‘the Act’) against i)Gramin Vikas Bank, Branch Takhtuchak, Tehsil: Khadoor Sahib, District Tarn Taran through its Manager (herein-after referred to as ‘Bank’)-Opposite Party No.1 and ii)Bajaj Allianz Insurance Company Limited, having its District Office Opposite Tarn Taran Central Co-operative Bank Limited, Main Bazar, District Courts, Tarn Taran through its Manager (herein-after referred to as ‘Insurance Company’)-Opposite Party No.2.
2. It is stated by the complainant that the  husband of the complainant namely Piara Singh opened loan account No.84438800077520 in Opposite Party No.1-Bank and availed loan from them. At the time of availing the loan, the Opposite Party No.1-Bank told the complainant that every person opening a loan account would be issued life insurance policy and the premium would be paid by Opposite Party No.1-Bank and in case of death of the policy holder, the Opposite Party No.2-Insurance Company will release a claim of Rs.2,50,000/- to the nominee declared by the policy holder in the proposal form.  It is further averred that Opposite Party No.1-Bank issued a receipt of payment of premium to the deceased having welcome letter No.0298507340 dated 28.3.2013.
3. It is also stated that husband of the complainant namely Piara Singh died on 27.11.2013 and the complainant immediately informed about the death of Piara Singh  her husband to Opposite Party No.1-Bank as well as Opposite Party No.2-Insurance Company and requested them to release the insurance claim of the policy issued to the deceased Piara Singh while opening the loan account. It is further alleged the Opposite Party No.1-Bank told the complainant that they would forward the document i.e. death certificate of the policy holder alongwith copy of the welcome letter to Opposite Party No.2-Insurance Company and they would ask them to release the claim as early as possible. The complainant further alleged that she visited the Opposite Party No.1-Bank after passage of couple of months and told them that no claim was ever released by Opposite Party No.2-Insurance Company and Opposite Party No.1-Bank assured the complainant that the claim amount would be released within 10 days by Opposite Party No.2-Insurance Company. The complainant again visited Opposite Party No.1-Bank for releasing the claim, but the Opposite Party No.1-Bank flatly refused to help the complainant in getting the insurance claim released from Opposite Party No.2-Insurance Company. Thereafter, the complainant went to Opposite Party No.2-Insurance Company regarding her grievance, but Opposite Party No.2-Insurance Company told the complainant that due to some procedural complicacies, the claim could not be released, but the same will be released in a few days time. However, after waiting the release of claim, the complainant finally posted a registered letter on 8.7.2014 to the Opposite Party No.2-Insurance Company, but in vain. It is further averred that the cause of action arose on 24.7.2014 after the lapse of 15 days of posting of released letter to the Opposite Party No.2-Insurance Company and no reply was ever received by her from Opposite Parties. It is further averred that the complainant is nominee of deceased Piara Singh and therefore she has filed the present complaint seeking the following reliefs:-          
   1. That the Opposite Party No.2-Insurance Company may kindly be directed to release the claim of the life insurance policy of deceased Piara Singh to the complainant i.e. Rs.2,50,000/-.
   2. That both the Opposite Parties  may kindly be directed to pay compensation to the complainant amounting to Rs.10,000/- for causing harassment to her by not releasing the claim of the life insurance policy.
   3. That the Opposite Parties  may kindly be directed to pay Rs.10,000/- as litigation expenses to the complainant.
   4. And any other relief may also be granted to the complainant as this Forum may deem fit.
4. Upon notice, the Opposite Party No.1-Bank  appeared and filed written version submitting that the insurance claim is to be issued  only by Opposite Party No.2-Insurance Company. The claim documents were to be sent by the complainant and not by Opposite Party No.1-Bank. However, they have admitted the payment of insurance premium as the insurance premium was paid from the saving bank account of the insurer on the instruction of account holder and the insurance claim is to be released by  Opposite Party No.2-Insurance Company who is not releasing the same. The Opposite Party No.1-Bank has stated that no cause of action has arisen against them and they denied the other allegations of the complainant and have finally prayed for the dismissal of the complaint with costs.
5. Opposite Party No.2-Insurance Company also filed separate written statement taking the preliminary objections. It was averred that the complaint is pre-mature; the complainant has not approached this Forum with clean hands; no cause of action has arisen to the complainant against the answering Opposite Party  and there is no locus standi to file the present complaint. On merits, it was averred that Piara Singh enrolled himself as a member of ‘Sarve Shakti Suraksha’ master policy bearing No.0177675666 administered by Punjab Gramin Bank. Therefore, a certificate of insurance bearing number 0298507340 was issued to him with date of enrollment/ commencement as 28.03.2013 with premium payment & benefit term of 5 years. It is further averred that the insured member had availed loan from said bank and therefore, there is no privity of contract between the Opposite Party No.2-Insurance Company and with Gramin Vikas Bank which is master policy holder. It is further averred that the Master Policy Holder is Punjab Gramin Bank and not Gramin Vikas bank. It is further averred that no intimation regarding alleged death of Piara Singh was ever received by the Opposite Party No.2-Insurance Company from Opposite Party No.1-Bank or from the complainant. Moreover, no claim was ever lodged with the Opposite Party No.2-Insurance Company and the Opposite Party No.2-Insurance Company had not been given any opportunity to examine the bonafide of the claim as per the terms and conditions of the Master Policy as well as Certificate of Insurance. Since no claim was ever lodged by the complainant with Opposite Party No.1-Bank, therefore, the question of any assertion by the Opposite Party No.2-Insurance Company for payment of the claim does not arise.  The Opposite Party No.2-Insurance Company denied the other allegations of the complainant and has finally prayed for the dismissal of the complaint with costs.
6. In order to prove her case, the complainant has tendered into evidence her affidavit Ex.C1 alongwith documents Ex.C2 to Ex.C5 and closed the evidence.
7. To rebut the case of the complainant, the Opposite Party No.1-Bank tendered into evidence affidavit of Sh.Sohan Singh, Branch Manger Ex.OP1/1. Similarly, Opposite Party No.2-Insurance Company tendered into evidence the affidavit of Sh.Sandip Gupta Manager Ex.OP2/1 alongwith document Ex.OP2/2 and closed their respective evidence.  
8. We have heard the ld.counsel for the parties and have also gone through the record.
9. Ld.counsel for the OP2-Insurance Company has mainly contended that no intimation regarding alleged death of Piara Singh was ever received by the Opposite Party No.2-Insurance Company from Opposite Party No.1-Bank or from the complainant. Ld.counsel for the opposite party No.2-Insurance Company has further contended that since no claim alongwith relevant documents/ papers was lodged by the complainant with them to examine the bonafide of the claim as per the terms and conditions of the Master Policy as well as Certificate of Insurance, therefore, the question of any assertion by the Opposite Party No.2-Insurance Company for payment of the claim does not arise.  It is also contended that in the absence of lodging of claim by the complainant alongwith documents, the opposite party No.2-Insurance Company is handicapped to conduct the investigation qua genuineness of the claim.  Moreover, the opposite party No.2-Insurance Company has not denied the claim of the complainant due to non filing the claim by the complainant.  So, in the absence of information regarding the lodgement of claim alongwith information/ documents, the Opposite Party No.2-Insruance Company has failed to settle her claim.
10. In view of the aforesaid facts and circumstances,  the complaint is disposed of with the directions to the complainant to firstly lodge the claim with Opposite Party No.2-Insruance Company alongwith all relevant documents/ papers to be relied upon, within 15 days from date of receipt of copy of this order and thereafter, the Opposite Party No.2-Insurance Company shall process and settle the claim of the complainant within next 30 days under rules/ law.  However, the complainant is at liberty to file the fresh complaint after the final settlement of her claim, if she is not satisfied with the decision of the Opposite Party No.2-Insruance Company.  No order as to costs. Copies of this order be supplied to the parties free of cost and the file be consigned to record room after compliance.    

                                                                   Sd/-       

Announced in open Forum.                          (S.K.Goel)           

Dated:10.03.2015.                                           President

                                                Sd/-                                Sd/-

                                        (Jaswinder Kaur Dolly)    (R.D.Sharma)

                                                    Member                  Member