Tamil Nadu

North Chennai

CC/50/2016

Palaniappan.V - Complainant(s)

Versus

Rakesh jain Executive Director - Opp.Party(s)

Party In Person

30 Jun 2017

ORDER

 

                                                            Complaint presented on  :  23.03.2016

                                                                Order pronounced on  :  30.06.2017

 

DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, CHENNAI (NORTH)

    2^nd Floor, Frazer Bridge Road, V.O.C.Nagar, Park Town, Chennai-3

 

PRESENT: THIRU.K.JAYABALAN, B.Sc., B.L.,         :      PRESIDENT

                    TMT.T.KALAIYARASI, B.A.B.L.,            :     MEMBER II

 

FRIDAY  THE 30^th  DAY OF JUNE 2017

 

C.C.NO.50/2016

 

V.Palaniappan,

Chartered Accountant,

B1, Saraswathi Krishna Apartment,

Krishna Avenue,

1/75, Abhiramapuram 4^th Street,

Chennai – 600 018.

                                                                                      .... Complainant

 

..Vs..

	1.Rakesh Jain, Executive Director & CEO, Reliance General Insurance Company Ltd., 570, Rectifier House, First Floor, Naigaum Cross Road, Wadala, Mumbai – 400 031.   2.Rajeshwaran Madavan, Reliance General Insurance Company Ltd., H Block, 4th Street, Door No. 12, H 2036, 16th Main Road, Anna Nagar, Chennai – 600 040.
	...Opposite Parties

Date of complaint                                 : 25.04.2016

Counsel for Complainant                      : Party in Person

         

Counsel for  Opposite parties                  : Mrs. Eleveera Ravindran, K.Vinod

 

O R D E R

 

BY PRESIDENT THIRU. K.JAYABALAN B.Sc., B.L.,

          This complaint is filed by the complaint to refund the balance NCB amount of Rs.3,369/- and also compensation for mental agony with cost of the Complaint  u/s 12 of the Consumer Protection Act.1986.

1.THE COMPLANT IN BRIEF:

          The Complainant purchased a new Honda City Car from a dealer in Chennai.  The opposite party issued a policy for the car vide policy No.1203252311008534 dated 22.01.2016.  The insurance policy covers towards 3^rd party premium to a sum of Rs. 1,998/- and also the own damage as well as the third party premium damage at Rs. 19,148.70/-.  The consumer is entitled for certain percentage of no claim bonus(NCB),provided there is a valid Original Certificate  issued by the Insurance Company to support  the claim.

2.  The   NCB discount was introduced with intent to encourage beneficiaries from not making any insurance claim. Accordingly the Complainant submitted NCB for 50% OD premium issued by a New India Insurance Company dated 21.08.2016 to the opposite parties on the 1^st  January.  The opposite parties processed  the OD NCB claim with  lot  of delays  and  only on repeated  follow ups over phone ,  telegram and an  e-mail on 25^th  February, the opposite parties credited a sum of Rs.7,136/-  towards NCB. However the Complainant  alleged  that  he  is entitled for a sum of  Rs. 10,963/-   being the own  damage premium as stated in the  Insurance  Policy along professional service tax. Hence there is net balance of Rs.3,852/- to be paid by  the opposite parties to the Complainant.

3.  The Complainant has raised issue with the opposite parties and sent nearly since 11 e-mails and one mail with registered post to the opposite parties.  The same was attended by one Mr.Arokia Selamban on March 2^nd he stated that a sum of Rs.7,136/- had been refunded and he did not reply to any  pointed  query  raised by the Complainant. Pursuant to the communication of the opposite parties Officer Mr. Rajeshwaran Madhavan sent an e-mail to the Complainant along with the calculation.   The Complainant sent a detailed mail in refuting the claim of the opposite party.  On 10^th March the said  Mr.Arokia Selamban had arrived a sum of Rs.13,617.99/- towards own damage  premium which finds  no mentioning own damage anywhere in the policy issued by the opposite parties. On 13^th March again the said Mr.Arokia Selamban   sent a mail to the Complainant. On 14^th March the Complainant sent an e-mail to the executive director of the   Opposite Parties  which was acknowledged on 15^th March.  Very  strangely on 16^th March another sum of Rs.458/- was credited towards his claim of Rs.3,369/- which the Complainant alleged against the Opposite Parties is due to pay to him. Hence the Complainant filed this Complaint to direct the Opposite Parties to refund the aforesaid sum and also compensation for mental agony with cost of the Complaint.    

4.WRITTEN VERSION OF THE 1^st & 2^nd OPPOSITE PARTIES  IN BRIEF:

          The opposite parties deny the allegation of the complainant made in the complaint with regard to the alleged deficiency of the service against them.  The opposite party afforded policy to the Complainant in policy No.  1203252311008534 dated 22.01.2016 to the Complainant vehicle at the rate of sum of Rs.24,213/-.  Further the opposite parties denies the NCB  claim made by the Complainant  as per  GR 27 as  no claim bonus can be earned  only in the own damage policies covering all clauses  of the vehicle, but not on   motor trade  policies. The percentage of applicable NCB is to be compounded on the own damage premium  recovered  for the  insurance after deducting any  rebate in respect of the vehicle laid  up under  the policy.  Further more in GR 27,  the  word  add  on cover is used, as it is used no NCB  benefit is applicable on  the  add  on cover  premium. The GR claim bonus has been extracted   in the version filed by the opposite parties .  There is no cause of action to maintain the Complaint in respect of the alleged  non refund claim made by the Complainant.  As per the policy, it is clearly mentioned basic claim including add on cover by the motor security plus reference which does not come under motor tariff for claiming NCB benefit. The Complainant is not entitled for the relief sought by him and the Complaint is liable to be dismissed.        

5.POINTS FOR CONSIDERATION:

          1. Whether there is deficiency in service on the part of the opposite parties?

          2. Whether the complainant is entitled to any relief? If so to what relief?

6.POINT:1

          The parties to the proceedings are admitted that the Complainant has purchased a Honda City Car taking the policy from the Opposite Parties on 22.01.2016 up to 21.01.2017 and a sum of Rs.24,213/- was paid as a total premium.  To prove the same the copy of the policy is marked as Ex.A1 and on 01.02.2017 the Complainant forwarded the NCB Certificate issued by the former insurer to the Opposite Parties and also the same was proved by marking copy of the NCB Certificate as Ex.A2. The Complainant after taking lot of efforts with the Opposite Parties a sum of Rs.7,136/- was credited towards NCB by the Opposite Parties on 25^th February against the demand of a sum of Rs.10,963/- raised by the Complainant. Further a sum of Rs.458/- was deposited by the Opposite Parties on 16^th March in favour of the Complainant towards the claim of NCB which was admitted by both the parties. The Opposite Parties denied the claim of NCB on the sole ground GR 27 of the motor tariff policies. According to them no NCB bonus earned in the own damage policies covering all classes of policies. However policies which cover only fire or theft risk alone is liable to claim the NCB. The NCB is applicable only to the above said policies and not to the motor tariff policies.

          7. The only defense taken by the Opposite Parties is the GR 27. However, the policy issued by the Opposite Parties Ex.A1 dated 22.01.2016, wherein it includes   the total basic own damage premium along with add on cover as happened by the Complainant, though such Complainant is entitled for the add on cover to the OD premium sought for by him in this Complaint.  The Complainant has originally sought for the  add on policy, add on cover from 22.01.2016 . However a sum of Rs.7,594/- was paid by the Opposite Parties.  The Complainant has revised his claim at the rate of Rs. 3,369/- as per his commutation enclosed along with his Complaint. Hence the relief sought by the Complainant has been proved by the policy  issued by the Opposite Party  in  ExB1 and the Complainant is entitled for a sum of Rs.3,369/- towards the balance amount of NCB discount which has not been paid by the  Opposite Parties. The complaisance has also produced Ex.A2,  wherein it has been proved  that the  insured/Complainant  is  entitled to  50% of  NCB by the communication  of the earlier  insurer   dated  28.01.2016 addressed  to the Complainant.  Hence the Complainant   has proved the deficiency committed by the opposite parties and therefore it is held that the Opposite Parties have committed deficiency in service in not refunding a sum of Rs.3,369/- to the Complainant.

8. POINT NO:2

          Having held that the Opposite Parties committed deficiency in service, the Complainant is entitled for a sum of Rs.3,369/- as refund for NCB from them. The Opposite Parties failed to refund the aforesaid amount to the Complainant, he had suffered with mental agony is expected and for the same, it would be appropriate to order the Opposite Parties  to pay a sum of Rs.5,000/- compensation for mental agony, besides a sum of  Rs.5,000/- towards the litigation expenses.

          In the result the Complaint is partly allowed. The Opposite Parties 1 & 2 jointly or severally are ordered to refund a sum of Rs.3,369/- (Rupees three thousand three hundred and sixty nine only) to the Complainant and also to pay a sum of Rs.5,000/- (Rupees five thousand only) towards compensation for mental agony, besides a sum of Rs.5,000/- (Rupees five thousand only) towards litigation expenses.

          The above amount shall be paid to the Complainant within 6 weeks from the date of receipt of the copy of this order failing which the above said amount shall carry 9% interest till the date of payment.

          Dictated to the Steno-Typist transcribed and typed by her corrected and pronounced by us on this 30^th day of June 2017.

MEMBER – II                                                               PRESIDENT

 

 

LIST OF DOCUMENTS FILED BY THE COMPLAINANT:

Ex.A1 dated  22.01.2016                  Policy  issued by the Opposite Parties for the

                                                    period  22.01.2016 to 21.01..2017

 

Ex.A2 dated 28.01.2016                   NCB Certificate issued by the  New  India

                                                    Assurance Company Ltd.,

                  

Ex.A3 dated 07.03.2016                   Copy of endorsement schedule made by the

                                                    Opposite Parties

 

Ex.A4 dated 10.03.2016                   Copy of final hard copy reply from the Opposite

                                                     Parties

 

Ex.A5 dated NIL                     Reply letter from the Opposite Parties to the

                                                     Complainant

 

LIST OF DOCUMENTS FILED BY THE OPPOSITE PARTIES:

 

Ex.B1 dated  22.01.2016                  Policy  issued by the Opposite Parties for the

                                                    period  22.01.2016 to 21.01..2017

 

Ex.B2 dated NIL                     Policy Endorsement Schedule NCB refund for

                                                    Rs.7135.95/-

 

Ex.B3 dated NIL                     Policy Endorsement Schedule NCB refund for

                                                    Rs.458

 

Ex.B4 dated NIL                     GR 27. No Claim Bonus (Extract from IMT pages

                                                    11 to 13)

                                     

 

 

MEMBER – II                                                               PRESIDENT