NCDRC

NCDRC

RP/1571/2010

LIC OF INDIA - Complainant(s)

Versus

GULJHARI LAL - Opp.Party(s)

MR. BUDDY A. RANGANADHAN

08 Sep 2010

ORDER


NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSIONNEW DELHIREVISION PETITION NO. 1571 OF 2010
(Against the Order dated 01/01/2010 in Appeal No. 1608/2005 of the State Commission Rajasthan)
1. LIC OF INDIAThrough Asst. Secretary, Co Legal Cell, Delhi, H-39, 1st Floor, Connaught PlaceNew DelhiDelhi ...........Petitioner(s)
Versus
1. GULJHARI LALR/o. Village Abhayapura, Tehsil Danta, RamgarhSikkarRajasthan ...........Respondent(s)

BEFORE:
HON'BLE MR. JUSTICE R.C. JAIN ,PRESIDING MEMBERHON'BLE MR. SURESH CHANDRA ,MEMBER
For the Petitioner :MR. BUDDY A. RANGANADHAN
For the Respondent :NEMO

Dated : 08 Sep 2010
ORDER

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No one appears for the respondent despite due service of notice through registered A. D. post. Limited notice was issued to the respondent as to why in the given facts and circumstances, the impugned order be not set aside on the petitioner-LIC of India paying the insured sum of Rs.50,000/- to the respondent as a goodwill gesture rather than a legal liability to pay the amount under the terms of the insurance policy. Mr. Buddy a. Ranganadhan, learned counsel for the petitioner-LIC of India states that the said offer of the LIC of India still holds good but his prayer is that the impugned order be set aside as it runs contra to the clause 10.4 of the terms and conditions of the policy, which reads as under:- “10.4. The disability above referred to must be disability which is the result of an accident and must be total and permanent and such that there is neither then nor at any time thereafter any work, occupation or profession that the Life Assured can ever sufficiently do or follow to -3- earn or obtain any wages, compensation or profit. Accidental injuries which independently of all other causes and within one hundred and twenty days from the happening of such accident, result in the irrecoverable loss of the entire sight of both eyes or in the amputation of both hands at or above the wrists or in the amputation of both feet at our above ankles, or in the amputation of one hand at or above the wrist and one foot at or above the ankle, shall also be deemed to constitute such disability.” Having considered the matter in its entirety and the nature and extent of the disability suffered by the complainant-insured, we are of the clear opinion that the complainant was not entitled to any benefit under the insurance policy for the disability suffered by him. The State Commission has, therefore, erred in allowing the appeal and directing the LIC of India to pay to the complainant a sum of Rs.50,000/- under the policy in question alongwith interest @ 9% per annum from the date of filing of the complaint till payment is made, besides cost of Rs.5,000/- as litigation expenses. The order is legally unsustainable and deserves to be set aside. -4- In the result, the revision petition is allowed and the impugned order passed by the State Commission to the above effect is hereby set aside. However, in the peculiar facts and circumstances of the case, we approve the offer made by the LIC of India to pay the amount of Rs.50,000/- to the respondent-complainant as purely a goodwill gesture. The LIC of India shall pay the amount of Rs.50,000/- to the complainant within a period of four weeks. However, they will have no liability to pay any interest or cost of litigation as awarded by the State Commission. The revision petition stands disposed of in the above terms.



......................JR.C. JAINPRESIDING MEMBER
......................SURESH CHANDRAMEMBER