IN THE CONSUMER DISPUTES REDRESSAL FORUM, ALAPPUZHA
Monday the 22nd day of June, 2020
Filed on 20. 09.2017
Present
1. Sri. Santhoshkumar Bsc. LLB(President)
2.Smt. Sholly.P.R ,LLB (Member)
3. Smt. C.K.Lekhamma. LLB(Member)
In
CC/No.64/2017
Between
Complainant:- Opposite parties:-
Sri.Mathew.K.K 1. M/s Max New York Life
S/o Kurien Mathew Insurance Co.Ltd
Kadampuzha House 11th Floor, DL Square
Chittady.P.O, Chotty Jacaranda Marg
Mundakkayam DLF City Face II
Kottayam-686 524 Guargaon-122002 (Adv.Vishnuraj Sugathan)
2. The Peerless General
Finance & Investment Co. Ltd
No.19/872B
West of Convent Square
Mehdis Building, 1st Floor
Alappzuha-688001
(Adv.P.K.Mathew)
O R D E R
SMT. C.K.LEKHAMMA (MEMBER)
Brief fact of the complaint is as follows:-
The complainant is a policy holder of the 1st opposite party, MAX MANGAL-MONTHLY-121-6P vide policy no. 802943464. He had subscribed the policy on 30/12/2009 through its agent the 2nd opposite party by paying Rs. 1180/- as 1st premium and had paid the monthly premium for 72 months. Last payment was made on 25/11/15 and obtained receipt also. On 11/3/2016 he had received a letter from the 1st Op demanding an amount of Rs.7579/- towards premium amount, interest etc. The said demand is baseless as the complainant have already paid the entire subscriptions and obtained receipts for the same. The complainant has lodged a complaint through e-mail to the address of the help desk. However, no reply has been received from the 1st opposite party. The complainant has received another letter from the 1st opposite party dtd. 3-6-2016, demanding Rs. 12,276.23/-. Upon receipt of the same the complainant has contacted the 2nd opposite party. They assured the complainant that since the entire subscriptions was paid there is no need to pay any further amount.
Thereafter on 21/10/2016 also the complainant has received another letter from the 1st opposite party demanding Rs. 3547.74/-. According to the complainant the demand made by the 1st opposite party is baseless and they have not demanded a consistent amount through these letters. The demand made by them is as an experimental one in order to snatch away money from the complainant. The above said acts of the 1st opposite party amount to unfair trade practice and deficiency in service for which the 1st opposite party is answerable. The complainant being a farmer had deposited his hard earned money upon the compulsion on the part of the 2nd opposite party. Hence both parties are jointly and severally liable to compensate the complainant. The complainant also sought for a direction to the opposite parties that the entire premium amount as per the above said policy has been paid by the complainant as provided in the conditions of the policy.
Therefore the complainant approaches this Forum for following reliefs against the opposite parties to pass an order directing the opposite parties to give a declaration to the complainant that entire premium amount in respect of policy No. 802943464 has been paid and further direct the opposite parties to pay Rs. 50,000/- to the complainant as compensation for unfair trade practice and deficiency in service and for mental agony sustained by the complainant.
2. Version of the 1st opposite party is as follows:-
No dispute with regard to the issuance of policy. The policy was issued on 31-12-2009 stipulating for a monthly premium of Rs. 1174/- against the sum assured of Rs. 60,000/- for a premium paying term of 6 years. The renewal premium due on dated 30-9-2015 was not paid by the complainant. The opposite party also sent a renewal premium intimation letter dtd. 26-11-2015 informing the complainant about the same. The nonpayment of the above mentioned premium amount along with other charges there were some pending due under the said policy. Meanwhile, 2nd opposite party had inadvertently issued a receipt in favour of the complainant stating that the premium under the said policy has been “fully Paid”. Although some dues has remain unpaid by the complainant towards the said policy. According to the 1st opposite party as goodwill gesture is ready and willing to settle the dispute by paying the remaining premium under the said policy on its own and the complainant doesn’t have the pay any further premium towards the policy.
3. Version of the 2nd op is that there is no contract between complainant and opposite party. The complainant is not at all their consumer since they only accept the premium amount from the complainant and paid to the 1st OP. The matter is purely between 1st OP and the complainant. There is no deficiency in service or dereliction of duty on the part of the 2nd opposite party.
The complainant appear in person and 1st and 2nd OP appeared through counsel. The complainant filed proof affidavit and documents. And examined him as PW1 and Ext.A1 to A4 were marked. Complainant was cross examined by 2nd opposite party only. Opposite party1 was absent. Opposite party filed proof affidavit and did not adduced any documentary evidence. We have heard the complainant and opposite party No.2.
4. Points that came up for determination are as follows:-
1. Whether the complainant is entitled to get entire premium amount with
interest from the opposite parties?
2. Compensation and costs?
5. Points No.1 and 2:-
According to the complainant who subscribes the policy of 1st OP through their agent the 2nd OP. He paid entire premium amount for 72 months, as per policy and he remitted the last premium amount on 25/11/2015 and the 2nd OP issued Ext.A2 receipt to that effect. In Ext.A2 it is mentioned that “next due date: full paid, Subject to allocation and principal”. According to the complainant after the issuance of the Ext.A2 receipt , the 1st OP demanding inconsistent amount towards interest from the complainant as per letter dtd. 11/3/2016, 3/6/2016(Ext.A4) and 21/10/2016(Ext.A3) for an amount of Rs.7579/-() , Rs. 12276.23/-( ) and Rs.3547.74/- respectively. During the cross examination of the complainant by the 2nd opposite party, it is specifically stated that the 2nd opposite party collects premium amount from him and transferred it to 1st OP and he again
deposed that “ Ext.A2 F¶Xv \n§Ä Pearless hgn AS¨ ]Ww Max \v In«n F¶pffXnsâ receipt Asà ? AsX CXv Max F\n¡b¨pX¶XmWv.” .
It appears that the 1st OP did not adduce any cogent evidence, oral as well as documentary, to rebut the evidence of the complainant. Moreover they have no case that Op2 is not their agent. The 2nd OP contented that they collect the installment amount from the complainant and transferred to the 1stOP. Since the complainant is not their consumer only to that aspect there is no deficiency in service on the part of them. On a perusal of Ext.A3 dtd. 21/10/2016 and Ext.A4 dtd. 3/6/16 itself reveals 1st opposite party demanding inconsistent amounts from the complainant within a short period. As per Ext.A1 policy the last premium due dtd 30/11/2015. The complainant paid his last installments on 25/11/2015 itself and 2nd Opposite party issued Ext.A2 to that effect. There is no convincing evidence before us the complainant omitted to remit any of the installments. The 2nd OP being the agent of the 1st OP who issued Ext.A2 receipt from the complainant. Hence the 1st OP is vicariously liable to the acts of 2nd OP. Hence we have no hesitation to hold that the 1st OP is liable to pay entire premium amount as per the policy with interest to the complainant. It is clear case of deficiency in service. Even if we are not ordering any compensation since we have already ordered interest of the premium amount. Even though the complainant is entitled to get litigation cost from the 1st OP. Since they put the complainant into an unnecessary litigation.
6. In the forgoing reasons we allow the complaint and direct that:-
(1) The 1st OP shall pay entire premium amount as per Ext.A1 policy with interest at the rate of 12% per annum from the date of complaint till realization.
2. The 1st OP shall pay Rs. 5000/-(Rupees Five thousand only) as litigation costs to the complainant.
The opposite party shall comply the order within 30 days of the receipt of the copy of this order.
Dictated to the Confidential Assistant, transcribed by him corrected by me and pronounced in open Forum on this the day of June , 2020.
Sd/-Smt. C.K.Lekhamma(Member)
Sd/-Sri. S.Santhosh Kumar(President)
Appendix:-Evidence of the complainant:-
PW1 - Mathew.K.K(Witness)
Ext.A1 - Life Insuracne Policy document booklet.
Ext.A2 - Renewal payment Receipt.
Ext.A3 - Letter from MAX life Insurance to Complainant.
Ext.A4 - Policy Statement.
Evidence of the opposite parties:-Nil
// True Copy //
To
Complainant/Oppo. party/S.F.
By Order
Senior Superintendent
Typed by:- Br/-
Compared by:-
