Chandigarh

DF-II

CC/1138/2019

Hakam Singh - Complainant(s)

Versus

Reliance Nippon Life Insurance Company Limited - Opp.Party(s)

Adv. Devinder Singh

21 Apr 2022

ORDER

DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION-II,

U.T. CHANDIGARH

 

Consumer Complaint  No	:	1138 of 2019
Date  of  Institution	:	26.11.2019
Date   of   Decision	:	21.04.2022

 

 

 

 

 

Hakam Singh son of Sh.Dalip Singh, aged 74 years, resident of 271, Sector 44-A, Chandigarh.    

 

             …..Complainant

 

Versus

 

1]  Reliance Nippon Life Insurance Company Limited, Corporate Office: 5^th Floor, South Wing, Reliance Centre, Off Western Express Highway, Santazruz East, Mumbai 400 055 through its Managing Director.

 

2]  Reliance Nippon Life Insurance Company Limited, SCO No.123-124, 2^nd Floor, Sector 17-C, Chandigarh through its Manager.  

 

    ….. Opposite Parties
 

 

BEFORE:  SMT.PRITI MALHOTRA        PRESIDING MEMBER 

                    SH.B.M.SHARMA                 MEMBER

                               

Argued by  : Sh.Devinder Kumar, Adv. for complainant.

   Sh.Gaurav Bhardwaj, Adv. for Opposite Parties  

 

PER B. M. SHARMA, MEMBER

         The complainant being the legal heir and nominee of deceased insured Mrs. Rupinder Kaur filed the present complaint. It is stated that the deceased insured Mrs.Rupinder Kaur obtained one Policy No.11886727 (Cash Flow Plan) from OP  Company effective from 12.4.2008 (Ann.C-1) covering the death benefits with Guaranteed Sum Assured and Non-Guaranteed Accumulate Reversionary Bonus.  It is also stated that the deceased insured Mrs.Rupinder Kaur paid regular premium of said policy since the year 2008 till her death on 13.8.2019 (Ann.C-2).  Thereafter, the complainant being the nominee under the said policy, lodged claim of death benefits, whereupon the OP Company approved & paid an amount of Rs.30,124.84 and transferred the same through NEFT in the account of complainant, whereas per policy they were bound to pay a sum of Rs.86,200/- towards Guaranteed Sum Assured and Rs.62,064/- towards Non Guaranteed Accumulate Reversionary Bonus to the complainant.  The complainant raised the issue with OP Company for payment of balance amount, but to no avail. Hence, this complaint.

 

2]       The OPs have filed joint reply and while admitting the factual matrix of the case, stated that the life assured opted the 19 years premium paying term   (Ann.C-1) and paid 11 premiums under the policy, therefore, the sum assured come to Rs.49,905.26.  It is stated that as per terms & conditions of the policy, in case the policy is paid up, then the survival benefits which were already paid are liable to be deducted from the calculated sum assured and in the present case, a total sum of Rs.43,908/- was already paid to the life assured as survival benefits during her life time i.e. Rs.14,366.60 in April, 2012, Rs.14,367/- in April, 2015 and Rs.14,367/- in April, 2018.  It is submitted that after deducting the survival benefit from the sum assured i.e. Rs.49,905.26-43,908 = Rs.6807.26 (Death Benefit) and further by adding the vested bonus of Rs.23,317/- into the death benefits, the total amount comes to Rs.30,124.26 and accordingly, an amount of Rs.30,125/- was transferred into the account of complainant-nominee.  It is submitted that nothing is due against the opposite parties as per terms & conditions of the policy.  Pleading no deficiency in service, the OPs have prayed for dismissal of the complaint.

 

3]       Rejoinder has been filed by complainant controverting the assertions of OP made as in the reply.

 

4]       Parties led evidence in support of their contentions.

 

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

 

6]       The thorough perusal of the record and evidence on file shows that it is expressly mentioned in Ann.C-1 (Policy Schedule) issued by OP Company under the Heading of – Benefit Payable that On death of the life assured at any time prior to 11^th April 2027, is Rs.86,200 plus vested bonuses will be payable. It is also mentioned in Ann.C-1 (Pg 9) that Guaranteed Sum Assured to be Rs.86,200/- and Non Guaranteed Accumulated Reversionary Bonus as Rs.62,064/-.  In spite of this, the OP Company paid only an amount of Rs.30,125/- to the complainant/nominee against an amount of Rs.1,48,264/- (Rs.86,200 + Rs.62,064) which became due towards Death Benefit of the life assured under the policy.     Therefore, the deficiency in service on the part of OP Company is clearly established, which not only caused financial loss to the complainant, but also caused him harassment & mental agony.    

 

7]       From the above discussion and findings, we are of the opinion that the deficiency in service has been proved on the part of OPs. Therefore, the present complaint is allowed with direction to the Opposite Parties to pay the balance amount of Rs.1,18,139/- (i.e. Rs.1,48,264 – Rs.30,125/-) to the complainant along with interest @10% p.a. w.e.f. 13.8.2019 (date of death of life assured) till its payment.  The OPs are also directed to pay an amount of Rs.15,000/- to the complainant towards compensation for causing him mental agony and harassment, along with litigation cost of Rs.10,000/-.

         This order shall be complied with by the OPs within a period of 30 days from the date of receipt of copy of this order, failing which they shall also be liable to pay additional cost of Rs.10000/-.

 

8]         The certified copy of this order be sent to the parties free of charge, after which the file be consigned.   

Announced                                                     

21^st April, 2022                                                        

                        sd/-

(PRITI MALHOTRA)

MEMBER

 

 

Sd/-

 (B.M.SHARMA)

MEMBER