Chandigarh

DF-II

CC/40/2018

Mrs. Kiran Jindal - Complainant(s)

Versus

Manager (Customer Services) ICICI Prudential Life Insurance Co. Ltd., - Opp.Party(s)

Rakesh Gupta Adv. & Puneet Jain Adv.

15 Oct 2018

ORDER

DISTRICT CONSUMER DISPUTES REDRESSAL FORUM-II, U.T. CHANDIGARH

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Consumer Complaint  No	:	40 of 2018
Date  of  Institution	:	22.01.2018
Date   of   Decision	:	15.10.2018

 

 

 

 

 

Mrs.Kiran Jindal wd/o Late Dr.D.P.Jindal, r/o House No.1661, Sector 49-A, Pushpak Complex, Chandigarh, earlier resident of House No.E-1/99, Sector 14, Panjab University Campus, Chandigarh.     

 

             ……..Complainant

 

Versus

 

1]  Manager (Customers Service) ICICI Prudential Life Insurance Co. Ltd., ICICI Prulife Tower, 1089, Appa Sahib Marathe Marg, Prabha Devi, Mumbai 400 025

 

2]  Manager, ICICI Prudential Life Insurance Company Ltd., SCO No.14-15, 2^nd Floor, Sector 9-D, Madhya Marg, Chandigarh.

 

 

………. Opposite Parties

 

BEFORE:  SH.RAJAN DEWAN            PRESIDENT

SMT.PRITI MALHOTRA        MEMBER

            SH.RAVINDER SINGH         MEMBER

 

Argued By:     Sh.Rakesh Gupta, Adv. for complainant.

Sh.Gaurav Bhardwaj, Adv. for OPs.

 

 

PER RAVINDER SINGH, MEMBER

 

         The case of the complainant, in brief is that, she purchased Insurance Policy No.00227469 for a sum assured of Rs.2.50 lacs from OPs on 2.11.2002 to be matured on 1.11.2012 (Ann.C-1).  It is averred that the complainant made all payments of premiums and after the date of maturity, made a request to the OPs vide email (Ann.C-2) for payment of the amount, but nothing was paid to her.  It is averred that the OPs instead sent an email dated 18.2.2013 informing the complainant that her policy has acquired non-annuitized status and the same had been converted into a pension scheme (Ann.C-3).  Ultimately, the complainant sent a legal notice to the OPs for payment of entire due amount under the policy, but to no avail. Hence, this complaint has been filed alleging deficiency in service and unfair trade practice on the part of OPs.

 

2]      The OPs have filed joint reply and while admitting the factual matrix of the case, stated that policy in question has been issued to the complainant as proposed by her for Life Annuity with return of purchase price.  It is stated that the total maturity amount under the policy in question comes to Rs.3,86,035/- and as per terms & conditions, the complainant is eligible to get only 25% of the maturity amount in lumpsum and remaining 75% can only be sought through Annuities.  It is submitted that the policy in question attained maturity on 2.11.2012 and the complainant approached the Opposite Parties on 18.2.2013 and she was replied vide mail on 18.2.2013.  It is also submitted that the maturity amount is payable to the complainant in annuities and not lumpsum as demanded.  Pleading no deficiency in service and denying rest of the allegations, the OPs have prayed for dismissal of the complaint.

 

3]       Complainant also filed rejoinder thereby reiterating the assertions made in the complaint.

 

4]      Parties led evidence in support of their contentions.

 

5]       We have heard the ld.Counsel for the parties and have also perused the record.

 

6]       The complainant had invested in ICICI Prudential Life Insurance Policy No.00227469 on 2.11.2002.  The said policy was having term of 10 years for which the complainant regularly paid the annual premium of Rs.25,052/-.  The policy had matured on 2.11.2012, but the Opposite Parties have not paid her the maturity amount so far.  The Opposite Parties in their written statement have admitted the following benefits accrued on the said policy of the complainant as on 2.11.2012:-

 

         Sum Assured (in Rs.)  249000/-

Guaranteed Additions @3.5% compounded annually (in Rs.) 67797.5/-

Vested Bonus (in Rs.) 27928.23/-

One Time bonus(in Rs.) 3959.96/-

Terminal bonus (in Rs.) (15%) 37350/-

Maturity Amount (in Rs.) 386035.69/-

 

7]       The contention raised by the OPs that the OP Company has informed the complainant vide their letter dated 29.9.2012 regarding maturity of policy as on 2.11.2012 and failure on the part of the complainant, the policy has acquired non-annuitized status, is a fallacy based on vague misinterpretation of terms & conditions of the policy. 

 

8]       The Opposite Parties also raised the contention that on maturity of the policy, only 25% of the maturity amount in lumpsum is payable and rest of the amount of maturity of the policy shall be considered for the purpose of annuity i.e. yearly pension payments.   The complainant has been mislead by the Opposite Parties, which led her to invest in the insurance policy of the Opposite Parties.  It is strange, as alleged by the Opposite Parties, that even after the maturity of the policy, the full amount is not to be paid to the investor.  The option to get back the maturity amount is the prerogative of the investor only and the insurance companies cannot be allowed to misinterpret their intricacies of underline hidden conditions denying the benefit of the policy to its investor.  

 

9]       The policy of the complainant matured on 2.11.2012, but so far, the OPs have not even paid 25% of the maturity amount to the complainant nor paid any annual pension, as alleged by them in their written statement before this Forum.  It is an extreme case of exploitation of innocent person/consumer by the insurance companies i.e. Opposite Parties-ICICI Prudential Life Insurance Company.  Thus, it is proved that the Opposite Parties have indulged in an unfair trade practice by depriving the complainant of her maturity amount under the policy since 2.11.2012 and so also suffers from gross deficiency in service.

         

10]      the complainant took the matter with the Opposite Parties through legal notice dated 24.2.2013 (Ann.C-4) and then again vide notice dated 27.11.2017 (Ann.C-6) for payment of her policy benefits, but the Opposite Parties refused her request vide their letter dated 15.12.2017 (Ann.C-7) and did not paid the amount.  The non-payment of claim amount against the insurance policy give rise to recurring cause of action and hence, the present complaint is maintainable and not barred by any limitation as alleged by the OPs in their reply.

 

11]      Taking into consideration the facts & circumstances of the case, as discussed in the preceding paragraphs, the complaint is hereby allowed against the OPs No.1 & 2 with directions to pay the maturity amount of the policy i.e. Rs.3,86,035/- to the complainant, with interest @12% per annum w.e.f. 2.11.2012 (date of maturity), along with litigation cost of Rs.10,000/-, within a period of 30 days from the date of receipt of copy of this order.

 

         Certified copy of this order be sent to the parties, free of cost. File be consigned to record room.

Announced

15^th October, 2018                                                                  Sd/-

 (RAJAN DEWAN)

PRESIDENT

                                                                                               

Sd/-

                                                                    (PRITI MALHOTRA)

MEMBER

 

Sd/-

(RAVINDER SINGH)

MEMBER