BEFORE THE DISTRICT FORUM: KURNOOL
Present: Sri. T.Sundara Ramaiah, B.Com B.L., President
And
Sri. M.Krishna Reddy, M.Sc., M.Phil., Male Member
And
Smt. S.Nazeerunnisa, B.A., B.L., Lady Member
Wednesday the 4th day of January, 2012
C.C.No.95/2011
Between:
Smt.L.Susheela,W/o L.Bhaskar,
H.No.2/3,B.Thandrapadu,Kurnool - 1.
…Complainant
-Vs-
1. Reliance Insurance Company Limited,Represented by its Chairman,
Regarding Office:H Block, 1st Floor, Dhirubhai Knowledge City, Navi Mumbai - 400 710.
2. Reliance Insurance Company Limited,Represented by its Manager,
Kurnool Branch,
Shop No.39 to 42,Ground Floor, RMK Plaza,Opp. Zilla Parishd, Park Road, Kurnool-518 001.
...Opposite ParTies
This complaint is coming on this day for orders in the presence of Sri Yedite Srinivaasulu, Advocate for complainant and Sri V.Chandra Prabhakar, Advocate for opposite parties 1 and 2 and upon perusing the material papers on record, the Forum made the following.
ORDER
(As per Sri. T.Sundara Ramaiah, President)
C.C. No.95/2011
1. This complaint is filed under section 12 of C. P. Act, 1986 praying:-
- To direct the opposite parties to revive the policy with all the contractual benefits acknowledging the receipt dated 23-08-2010.
- To direct the opposite parties to pay compensation in a sum of Rs.10,000/- towards mental agony suffered;
- To direct the opposite parties to pay costs of this application in a sum of Rs.5,000/-;
- To grant such other reliefs as the Honourable Forum deems fit and proper in the circumstances of the case in the interests of justice.
2. The case of the complainant in brief is as under:- The complainant obtained insurance policy from opposite party No.1 under Reliance Super Invest Assured Plan. The sum assured under the policy is Rs.50,000/- and the yearly premium payable under the policy is Rs.10,000/-. The period of policy is 20 years. The complainant paid Rs.5,000/- on 28-07-2009 and Rs.5,000/- on 01-08-2009 towards the first premium under the receipt No.265 dated 28-07-2009. She paid Rs.10,000/- to the second opposite party towards the second premium on 23-08-2010 and opposite party No.2 issued receipt bearing No.933 dated 23-08-2010. On 14-11-2010 the complainant received intimation from opposite party No.1 stating that she did not pay the second installment and the policy has lapsed on 06-08-2010. The complainant approached opposite party No.2 and informed about the payment of the second premium under receipt dated 23-08-2010. The complainant was informed that the amount collected from her was not credited to the company and the same was mis-appropriated by the staff. On 06-12-2010 the complainant got issued legal notice calling upon opposite party No.1 to revive the policy. Opposite party No.1 gave a reply that it did not receive second premium and the policy was lapsed. There is deficiency of service on the part of the opposite parties. Hence the complaint.
3. Opposite parties 1 and 2 filed written version stating that the complainant has no locus standi to file the complaint since the policy was lapsed due to non payment of premium. The first premium was received by the opposite parties on 04-08-2009 and proper receipt was issued to the complainant. The alleged cash receipt dated 28-07-2009 is not a valid in the eye of law. The complainant paid only the first premium of Rs.10,000/- on 04-08-2009. On that opposite party No.1 issued policy bearing No.15016657. Due to non payment of second premium due on 06-08-2011 and even during the grace period, the policy was lapsed as per the terms and conditions of the policy. There is no deficiency of service on the part of the opposite parties. The complainant is not entitled for the reliefs as prayed claim. The complaint is liable to be dismissed.
4. On behalf of the complainant Ex.A1 to A5 are marked and sworn affidavit of the complainant is filed. On behalf of the opposite parties Ex.B1 to B4 are marked and sworn affidavit of the opposite parties is filed.
5. Both sides filed written arguments.
6. Now the points that arise for consideration are:
- Whether there is deficiency of service on the part of Opposite Parties?
- Whether the complainant is entitled for the reliefs as prayed for?
- To what relief?
7. POINTS i and ii:- Admittedly opposite party No.1 issued Ex.A2 insurance policy under Reliance Super Invest Assured Plan to the complainant. The sum assured under the policy is Rs.50,000/-. The yearly premium is Rs.10,000/-. The date of commencement of plan is 06-08-2009. Maturity date of the policy is 06-08-2029. Admittedly the complainant paid first premium of Rs.10,000/- to opposite party No.1. Opposite party No.1 having accepted the proposal of the complainant issued Ex.A2 policy.
8. It is the case of the complainant that she paid the second premium amount of Rs.10,000/- to opposite party No.2 on 23-08-2010 and that opposite party No.2 issued Ex.A3 receipt. It is the case of the opposite parties that the complainant did not pay the second premium and the policy has lapsed on 06-08-2010. The opposite parties no where admitted the receipt of Rs.10,000/- towards the second premium from the complainant on 23-08-2010. It is the specific case of the opposite parties that the complainant did not pay the second installment and as a result the policy has lapsed on 06-08-2010. It is for the complainant to show that she paid the second premium amount of Rs.10,000/- with in the time to the opposite parties. The complainant in her sworn affidavit has stated that she paid Rs.10,000/- to opposite party No.2 on 23-08-2010 and that opposite party No.2 issued Ex.A3 receipt dated 23-08-2010. The complainant also filed Ex.A1 receipt said to have been issued by opposite party No.2. It is the specific case of the opposite parties that Ex.A1 receipt was not issued by them and that no amount was paid by the complainant under Ex.A1. It is mentioned in Ex.A1 that an amount of Rs.5,000/- was received on 28-07-2009. It is also mentioned that on 01-08-2009 an amount of Rs.5,000/- was paid by the complainant. Ex.A1 is dated 28-07-2009. Had the complainant paid Rs.5,000/- on 01-08-2009, she would have obtained separate receipt. The contention of the complainant that she paid Rs.5,000/- on 01-08-2009 under receipt Ex.A1 dated 28-07-2009 cannot be believed. According to the opposite parties the complainant paid the first premium of Rs.10,000/- on 04-08-2009 and accordingly the original of Ex.B3 receipt was issued. As seen from Ex.B3 it is very clear that the first opposite party received the first premium amount of Rs.5,000/- on 04-08-2009. The contention of the complainant that she paid Rs.5,000/- on 28-07-2009 and Rs.5,000/- on 01-08-2009 cannot be believed. Any how there is no dispute about the receipt of Rs.10,000/- by the opposite parties towards the first premium.
9. Point No.iii:- The opposite parties did not admit receipt of Rs.10,000/- from the complainant on 23-08-2010 towards the second premium. The complainant filed Ex.A3 receipt. The complainant in her sworn affidavit stated that on 23-08-2010 she paid Rs.10,000/- to opposite party No.2 towards the second premium. The complainant is not in position to say the name of the person to whom she paid Rs.10,000/- on 23-08-2010. Had she paid Rs.10,000/- to opposite party No.2 on 23-08-2010, opposite party No.2 would have issued the computerized receipt like Ex.B3. The complainant did not examine the agent through whom she submitted her proposal to the opposite parties to establish that Ex.A3 was issued by opposite party No.2. As opposite party No.1 did not receive the second premium amount within the time the policy had lapsed on 06-08-2010. Both parties are governed by the terms and conditions of the policy. It is the discretion of the opposite parties to revive the lapsed policy. The opposite parties cannot be compelled to revive the policy. The complainant is liberty to approach the opposite parties for revival of lapsed policy on payment of arrears of premiums. No deficiency of service is found on the part of the opposite parties. The policy lapsed for non payment of the second premium. Therefore we are of the opinion that the complainant is not entitled for the reliefs as prayed for.
10. In the result, the complaint is dismissed without costs.
Dictated to the stenographer, transcribed by her, corrected and pronounced by us in the open bench on this the 4th day of January, 2012.
Sd/- Sd/- Sd/-
MALE MEMBER PRESIDENT LADY MEMBER
APPENDIX OF EVIDENCE
Witnesses Examined
For the complainant : Nil For the opposite parties : Nill
List of exhibits marked for the complainant:-
Ex.A1 Receipt issued by opposite party No.2 for Rs.10,000/-
dated 23-08-2010.
Ex.A2. Reliance Life Insurance Policy documents
dated 06-08-2009.
Ex.A3 Receipt issued by opposite party No.2 for Rs.5,000/-
dated 28-07-2009.
Ex.A4 Office copy of Legal Notice dated 06-12-2010.
Ex.A5 Reply Notice along with letter dated 24-12-2010.
List of exhibits marked for the opposite parties:-
Ex.B1 Letter of Authority dated 22-09-2011.
Ex.B2 Photo copy of Common Proposal Form for Life Insurance-
Linked Plan application No.A6407493.
Ex.B3 Photo copy of premium collection Receipt for Rs.10,000/- dated 04-08-2009.
Ex.B4 Photo copy of customer Identity Proof code No.70023316
dated 04-08-2009.
Sd/- Sd/- Sd/-
MALE MEMBER PRESIDENT LADY MEMBER
// Certified free copy communicated under Rule 4 (10) of the A.P.S.C.D.R.C. Rules, 1987//
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Complainant and Opposite parties :
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