The case of the complainant, in short is that he had pai Rs. 15,500/- and obtained a Max life insurance Policy bearing Policy No-559816830. Due to financial hardship, the complainant did not want to continue and according to the provision of free look cancellation term i.e within 15 days of the receipt of the Bond the complainant wanted to surrender the policy including the Bond and the documents before the Company. He visited Jeypore and Bhubaneswar on the direction of OP No-2 and submitted all the policy documents along with written request before the OP No-3 on 23.09.2014 for cancellation of the policy and accordingly the O.P.No-3 granted a printed receipts. The O.P. No-3 gave an assurance to the complainant that, he will get his deposited amount within 15 days. When the complainant did not receive his dues he requested all the Ops several times yielded no result. Finding no other alternative due to unfair trade practice and deficiency in service on the part of the Opposite Parties, the complainant has filed present complaint with a prayer to direct the Ops to pay the deposited amount of Rs. 15,500/- with 18% interest and Rs. 30,000/- as compensation and Rs. 10,000/- towards the litigation expenses,
Notice was sent to all the Opposite Parties through registered post. Notice sent to the Opposite Party No-1 & 2 has returned back with a postal remark as “Refused” hence, the Opposite Parties No-1 & 2 are set ex-parte. Upon notice the Opposite Parties No-3 & 4 appeared through their Advocate and the Ld Counsel filed written version on behalf of OP-Max life insurance Company.
The Opposite Party-Max life Insurance Company Ltd. filed its written version through their Counsel. The said written version neither bears verification nor the affidavit by denying their liabilities.
Decision with reasons
Heard Ld Counsel appearing for the complainant at length. Perused the complainant petition along with affidavits and written version of the ld. Counsel appearing for the Opposite Parties No-3 & 4 and also gone through the documents very carefully. It is not disputed that the Complainant has obtained the Policy of the Opposite Parties vide policy No-559816830 and cancel/surrendered the same within 15 days under the policy condition. On perusal of the policy schedule at Exhibit C/1 and we found therein that there is an option to cancel the policy with a written request within 15 days from the date of receipt of the policy documents. As the complainant has requested for its cancellation within 15 days of receipt of the policy documents there is no reason to deny the cancellation of the policy. In this context we have been fortified by a decision of the Hon’ble Supreme Court of India in the matter of Life Insurance Corporation of India –versus- Sindhu (2006)5 SCC 258 wherein it is held that “the Policy is a contract entered in to between the LIC and the policy holder and the terms and conditions of the policy would be binding on the parties and the same cannot be re-written in exercise of writ jurisdiction of the court.” In course of hearing Ld. Counsel appearing for the complainant submitted that during pendency of the case the Opposite Parties have paid the deposited amounts to the Complainant.. Hence it is crystal clear that the Opposite Parties have not paid the Cancel/surrender value of the complainant in time and unnecessarily the complainant was called to Jeypore and thereafter to Bhubaneswar and delayed the matter illegally and arbitrarily in order to harass the complainant physically, mentally and financially.
In view of the above facts and circumstances of the case, we have come to the conclusion that complaint is tenable. We find that the Opposite Parties No-2 & 3 have deficient in service and committed unfair trade practice in this case for which the complainant is entitled to the relief. Hence, it is ordered that :
ORDER
The Opposite Party No-2 & 3 are directed to pay Rs. 10,000/- towards compensation for harassment caused to the complainant and Rs. 2,000/- towards the litigation expenses.
The above order shall be complied within 30 days on receipt of a copy of this order. In default, the Opposite Parties are liable to pay Rs. 100/- per day of default payable to the account of state Consumer welfare fund, Odisha.
Supply free copy to the parties as per rules.
Delivered in open forum on this 27th March ,2015
