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
Friday the 16th day of July , 2010
C.C. No.145/09
Between:
- S.Akbarbasha,S/o. Late Hameedabee, Muslim, Minor,
(being minor her grand mother i.e. complainant No.2)
H.No. 76-97-117-7, Weaker Sections Colony, Kurnool-518 003.
2. Jaithun Bee, W/o. Late Subhan Mia,
H.No.76-97-117-7, Weaker Sections Colony, Kurnool-518 003.
…..Complainants
-Vs-
The Branch Manager,Life Insurance Corporation of India,
D.No.40-36, River View Colony, Kurnool-518 002.
……Opposite Party
This complaint is coming on this day for orders in the presence of Sri. M. Sivaji Rao , Advocate, for complainant , and Sri. L.Hari Hara Natha Reddy , Advocate for opposite party and upon perusing the material papers on record, the Forum made the following
ORDER
(As per Sri. T.Sundara Ramaiah, President)
C.C. No.145/09
1. This complaint is filed under section 11 & 12 of the C. P. Act, 1986 praying to direct the OP
(i) to pay the assured amount on the two polices with bonus, other profits with interest,
(ii) to pay a sum of Rs.25,000/- towards compensation for causing mental agony and hardship ,
(iii) to pay the costs of the compliant.
(iv) any other relief or reliefs that are deemed to be fit and proper in the circumstances of the case.
2. The case of the complainant in brief is as follows:- The 1st complainant is the son and the 2nd complainant is the mother of the deceased Hameedabi . During the life time of Hameedabi she took two LIC polices bearing Nos. 653085270 & 654634406 . The 1st complainant is the nominee under the two polices. The deceased Hameedabi appointed her husband Razak Mia as the appointee to her minor son. On 14-05-2008 Hameedabi died suddenly . Prior to her death her husband Razak Mia left the house and his where abouts are not known since 2001. After the death of insured the complainants met OP and informed the death of the insured but there was no response from the OP. The complainants also sent legal notice to OP demanding to send claim forms . OP received the notice but not paid the amount. Hence the complaint.
3. OP filed written version stating that the complaint is not maintainable. It is true that two LIC policy Nos. 653085270 & 654634406 were obtained by Hameedabi during her life time she appointed the 1st complainant as her nominee. It also true that Hameedabi appointed her husband Razak Mia as appointee to her minor son . The assured died 14-05-2008 by committing suicide . The OP sent claim forms to the Advocate of the complainants by registered post dated 15-09-2009. Unless the corporation receives the claim forms it is not possible to pay the amount. The contract of insurance is a contract of utmost good faith. The assured committed suicide in violation of terms and conditions of the policy. Hence the OP is not liable to pay any amount to the complainants. In the absence of the appointee the OP can not proceed further. The appointee is the right person to deal with the case. The 2nd complainant who is the maternal grand mother of the 1st complainant is not proper person to file the complaint . There is no deficiency of service on the part of OP. Hence the compliant is not maintainable and it is liable to be dismissed. .
4. On behalf of the complainant Ex. A1 to A10 are marked and sworn affidavit of the 2nd complainant is filed. On behalf of OP no documents are marked and sworn affidavit of OP is filed.
5. Both parties filed written arguments.
6. The points that arise for consideration are
(i) whether there is deficiency of service on the part of the OP ?
(ii) Whether the complainants are entitled to the relief as prayed for?
(iii) To what relief?
7. Points 1 & 2:- Admittedly the 1st complainant is the son and the 2nd complainant is the mother of the deceased Hameedabi who died on 14-05-2008 by committing suicide . It is also admitted that during her life time she obtained two polices bearing Nos. 653085270 & 654634406 from the OP. Ex.A4 and A5 are the said policies. It is also admitted that under the said policies the deceased appointed her minor son who is the 1st complainant as the nominee and her husband Razak Mia as appointee to her minor son. Ex.A6 is the death certificate of the deceased Hameedabi. The complainants also filed Ex.A1 to A3 to show that Hameedabi died on 14-05-2008 by committing suicide . There is no dispute about the death of Hameedabi on 14-05-2008.
8. It is the case of the OP that Hameedabi appointed her husband Razak Mia as the appointee to her minor son and that the complainants have no local standee to file the present complaint. It is the case of the complainants that Razak Mia left his wife in 2001 and his where abouts are not known. It is mentioned in Ex.A3 inquest repot of the deceased Hameedabi that her husband Razak Mia left the house 6 years back and was addicted to drinking. Merely because Razak Mia did not approach the OP, the OP cannot escape its liability . The present complaint is filed by the nominee who is the minor being represented by his grand mother who is the 2nd complainant . Prior to the filing of the complaint the complainants sent legal notice to the OP demanding payment of the amounts due under the two policies. Admittedly the said notice were received by the OP . It is the case of the OP that after receiving the legal notice the claim forms were sent to the complainants Advocate by Registered post . The OP has not chosen to file the acknowledgement evidencing that it sent the claim forms to the complainants .The non payment of the amounts due under the policies to the 1st complainant amounts to deficiency of service on the part of the OP .
9. It is also the case of the OP that Hameedabi died by committing suicide in violation of terms and conditions of the policy and as such the OP is not liable to pay any amount to the complainants . Admittedly Hameedabi died by committing suicide . Condition No. 14 of the policy provides that company is not liable to pay the amount if the assured committed suicide within in one year after the commencement of the risk. In the present case Hameedabi died one year after the commencement of the policies. Therefore the contention of the insurance company that it is not liable to pay the amount as Hameedabi died by committing suicide cannot be accepted . The OP is liable to pay to the 1st complainant the assured amount under the both polices along with other benefits.
10. Point No: 3 : In the result , the complaint is partly allowed without costs directing the opposite party to deposit the assured amount of Rs.1,40,000/- ( Rs.1,00,000 + Rs.40,000) under the two policies along with other benefits within two months from the date of the order. On deposit the said amount shall be kept in fixed deposit for a period of five years in any Nationalized Bank. The 1st complainant is entitled to withdraw the said amount with accrued interest on attaining the age of majority.
Dictated to the stenographer, transcribed by her , corrected and pronounced by us in the open bench on this the 16th day of July , 2010.
Sd/- Sd/-
MALE MEMBER PRESIDENT
APPENDIX OF EVIDENCE
Witnesses Examined
For the complainant : Nil For the opposite parties :Nil
List of exhibits marked for the complainant:-
Ex.A1 FIR of Kurnool IVth town police station in Cr.No. 129/08
Ex.A2. Post Mortem report in Cr.No. 129/08 of 4th town P.S.
Ex.A3. Inquest report in Cr.No. 129/08 of 4th town P.S
Ex.A4. Insurance Policy bearing No. 654634406
Ex.A5. Insurance Policy bearing No. 653085270
Ex.A6. Death certificate of late Hameedabi
Ex.A7. Family member certificate of Late Hameedabi.
Ex.A8. Birth certificate of minor Abkar Basha.
Ex.A9. Legal notice along with Ack.
Ex.A10. Legal notice along with Ack.
List of exhibits marked for the opposite parties: Nil
Sd/- Sd/-
MALE MEMBER PRESIDENT
// Certified free copy communicated under Rule 4 (10) of the
A.P.S.C.D.R.C. Rules, 1987//
Copy to:-
Complainant and Opposite parties
Copy was made ready on :
Copy was dispatched on:
