Haryana

StateCommission

A/278/2015

BAJAJ ALLIANZ LIFE INSURANCE CO.LTD. - Complainant(s)

Versus

SHIV KUMAR - Opp.Party(s)

VARUN CHAWLA

03 Sep 2015

ORDER

STATE CONSUMER DISPUTES REDRESSAL COMMISSION HARYANA, PANCHKULA

                                                 

First Appeal No  :      278 of 2015

Date of Institution:      24.03.2015

Date of Decision :       03.09.2015

 

Bajaj Allianz Life Insurance Company Limited, Branch Office, SCO No.226, Sector-12, Urban Estate, Karnal through its authorized signatory/Divisional Manager/Managing Director.

(Through Rajinder Singh Kalsi, Zonal Legal Manager, Bajaj Allianz Life Insurance Company Limited, SCO 215-217, Sectort-34, and Chandigarh).

                                      Appellant-Opposite Party

Versus

 

Shiv Kumar s/o Sh. Bedharak Singh, Resident of Village and Post Office Kurali, Tehsil Rampur, District Saharanpur (U.P.)

 

                                      Respondent-Complainant

 

CORAM:             Hon’ble Mr. Justice Nawab Singh, President.

                             Shri B.M. Bedi, Judicial Member.

                             Mrs. Urvashi Agnihotri, Member.                                                                                                                              

Present:               Shri Varun Chawla, Advocate for appellant.

Shri Narender Pal Bhardwaj, Advocate for respondent.

 

                                                   O R D E R

 

NAWAB SINGH J.(ORAL)

 

By filing this appeal, Bajaj Allianz Life Insurance Company Limited (for short ‘Bajaj Allianz’)-Opposite Party, has challenged the order dated January 21^st, 2015 passed by District Consumer Disputes Redressal Forum (for short ‘District Forum’), Karnal, whereby, Bajaj Allianz was directed to pay the sum insured, that is, Rs.50,000/- to Shiv Kumar Complainant-respondent, alongwith interest at the rate of 9% per annum from the date of filing of the complaint, that is, September 6^th, 2011, till its actual realization, compensation of Rs.10,000/- for harassment and Rs.2200/- litigation expenses.

2.      Bedharak Singh–since deceased (hereinafter referred to as ‘Insured’)-father of complainant, purchased a Life Insurance Policy (Exhibit C-4) from Bajaj Allianz, on July 29^th, 2006 for the sum assured Rs.50,000/-.  The policy commenced from August 23^rd, 2006. The Policy Term was 15 years with date of maturity August 23^rd, 2021. The installment premium payable was semi-annually. The insured did not pay the installment of premium due on February 23^rd, 2008. So, the policy lapsed. He paid the premium on February 9^th, 2010 to get the policy revived by filing revival form Exhibit O-5.  The Medical Examination of the insured was conducted by Dr. Raj Kumar Choudhry, M.D. (Medicine)-Medical Officer of the Bajaj Allianz, vide Certificate Exhibit O-6. The Insured died on March 1^st, 2010.

3.      The complainant filed claim before the Bajaj Allianz but the same was repudiated vide letter dated September 7^th, 2010 (Exhibit O-4), which reads as under:-

“To

Mr. Shiv Kumar

S/o Sh. Ranjit Singh

Teh Deoband

Kurali ® Saharanpur.

                   Dear Sir/Madam

                   Sub: Death claim vide policy No.24983028

 

We deeply regret the sad demise of Late Bedharak Singh. Please accept our sincere heartiest condolences.

The death claim procedure has been completed. The premium due on 23/02/2008 was not paid within grace period of 30 days. Hence the policy was in lapse condition as on date of death i.e. on 01/03/2010.

As a result we are refunding the account value of Rs.2472/- under the captioned policy which is credited to your saving account No.1328000100072662 of Punjab National Bank, vide NEFT reference No.Sin00101Q0805952.

Please note that the bank details provided by you for crediting the proceeds are presumed to be true, correct and accurate and you shall be liable to indemnify Bajaj Allianz Life Insurance Company Limited for any loss, claim or damage arising on account of any error.

For any clarification or assistance, please feel free to contact us at ………….”

4.      Aggrieved thereof, the complainant filed complaint under Section 12 of the Consumer Protection Act, 1986. 

5.      The Bajaj Allianz-opposite party contested the complaint by filing reply reiterating the fact stated in the repudiation letter.

6.      The question for consideration before this Commission is as to whether the Bajaj Allianz was justified in repudiating complainant’s claim or not?

7.      It is not disputed that the insured had submitted the revival form (Exhibit O-5) and also gave declaration of Good Health. He was medically examined by Dr.Raj Kumar Choudhary, M.D. (Medicine)-Medical Officer of the Insurance Company. The Medical Officer issued the Certificate (Exhibit O-6). It is also not in dispute that the premium due for revival of the policy was paid by the insured. Thus, once the Bajaj Allianz accepted the revival form and the premium which was due by that date, later the Bajaj Allianz was not justified in pleading that the Insurance Policy was not renewed and a clarification was sought with regard to the proof of age of the insured. The Bajaj Allianz got the proof of age with the proposal form at the time of obtaining the policy on July 29^th, 2006 and accepted the same before issuing the policy. There was no point in asking for the proof of age again because it was already given.  

8.      In this view of the matter, the Bajaj Allianz wrongly repudiated complainant’s claim to escape its liability to pay the benefits of the Life Insurance Policy purchased by the deceased. Thus, no case for interference in the impugned order is made out.

9.      Hence, the appeal fails and is hereby dismissed.

10.    The statutory amount of Rs.25,000/- deposited at the time of filing the appeal be refunded to the complainant-respondent against proper receipt and identification in accordance with rules, after the expiry of period of appeal/revision, if any.

 

Announced 03.09.2015

Urvashi Agnihotri Member

B.M. Bedi Judicial Member

Nawab Singh President

CL