Per Shri S.R. Khanzode, Hon’ble Presiding Judicial Member:
This appeal takes exception to the order dated 13.5.1999 passed in complaint No. 242/96 Smt. Mangala M. Khairnar V/s Sr. Divisional Manager, LIC of India Nasik, passed by the District Consumer Disputes Redressal Forum, Nasik (‘the Forum’ in short).
The insurance policy was repudiated on the ground of suppression of the material fact about the illness while filling the proposal form. The Forum upholding the Complainant, awarding compensation of `25,000/-. Feeling aggrieved thereby, original opponent preferred this appeal. The Life Insurance Corporation of India also impleded itself as one of the appellants being an aggrieved party.
Heard both the sides. Respondent/Original Complainant present in person to whom the argument of the appellant is explained in vernacular Marathi. It is submitted on behalf of the respondent that it was the responsibility of the Insurance Company to get medically examined the insured and therefore, insured cannot be blamed for suppression of the material facts. We are unable to accept the submissions of the respondent. In answer to the question in the proposal form dated 13.01.1992 though the insured was suffering from illness and had taken treatment by hospitalization in the previous years, said information was suppressed. Therefore, there is a breach of utmost good faith and as such repudiation by Insurance Company cannot be faulted with. Under the circumstances, we hold accordingly and passed the following order :
O R D E R
Appeal is allowed. Impugned order dated 13.5.99 is set aside. In the result, the consumer complaint No. 242/96 stands dismissed. Amount deposited by the appellant be refunded on verification by the Registrar as per the law.
Pronounced dated 28th June 2011.
