Sri Ranjan Ray, Ld. Member

FINAL ORDER/ JUDGEMENT

This complaint was initially filed under the provision of Consumer Protection Act, 1986 against the Opposite Parties (O.P.s) – 1) The Branch Manager, Reliance Life Insurance, Anil Dhirubai Ambani Group, Gitanjali Complex, 1^st Floor, Sevoke Road, P.O. & P.S.- Siliguri, Dist.: Darjeeling, Pin Code- 734001 and 2) The Registered Office, Reliance Life Insurance Company Limited, H Block, 1^st Floor, Dhirubai Ambani Knowledge City, Navi Mumbai, Maharashtra- 400710 who contested the case by filing Written Version (W.V.).

          The brief fact of the complaint filed by the complainant is as follows-

The complainant is a policy holder of the O.P.s being Policy No. 14376793, corresponding to Contract No. 14393785, Client ID 09767859, Plan Name- Super Golden Year Plan (Single). This policy started from 16.04.2009 and matured on 13.04.2021. The complainant invested in the said policy a sum of Rs. 40, 000/- (Rupees Forty Thousand) only as a single premium for a term of 12 (twelve) years and on 13.04.2019 the O.P.s had duly received the said amount as a single premium, vide Receipt No. WC0004047708, Application No.- A4495077 and after the maturity of the said policy, i.e., on 13.04.2021 the complainant was supposed to get Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two and Thirty Three paisa) only from the O.P.s and on 19.10.2021 the O.P.s also sent one message to the complainant for claiming the maturity amount from them. Subsequently, for claiming his benefits the complainant visited the office of the O.P. No.1, one agent of the O.P. No.1 refused to give the maturity amount of Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two and Thirty Three paisa) only to the complainant and told the complainant that he is only liable to claim the 30% of the claim amount and rest of the 70% of the maturity amount he needs to reinvest when as per terms of the insurance policy the O.P.s are legally liable to pay the maturity sum of Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two and Thirty Three paisa) only to the complainant.

The complainant on several times tried to contact with the O.P. No.1 to recover the said maturity amount but the O.P. No.1 deliberately ignored the complainant and the local Representative Office of the O.P. No.1 refused to make any correspondence with the complainant. Thereafter, on 30.10.2021 the complainant sent a demand notice to the O.P.s through which he requested them to refund his said assured maturity amount of Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two and Thirty Three paisa) only but did not get any result. Finally, having no other alternative the complainant lodged this complaint.      

                    The prayers of complainant are as follows :

1. To pass an order directing the O.P.s to make a payment of a sum of Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two and Thirty Three paisa) only to the complainant as the insurance claim amount.
2. To pass an order directing the O.P.s to pay Rs. 50, 000/- (Rupees Fifty Thousand) only to the complainant for gross deficiency of service on the part of the O.P.s.
3. To pass an order directing the O.P.s to pay Rs. 50, 000/- (Rupees Fifty Thousand) only to the complainant for mental pain, agony and harassment as compensation.
4. To pass an order directing the O.P.s to pay Rs. 50, 000/- (Rupees Fifty Thousand) only to the complainant for litigation cost of the cases.
5. Interest @18% per annum on the amount of award till realization.
6. Cost of the proceedings.
7. Any other relief or relieves for which the complainant may be found entitled to under the law.

List of Documents filed by the complainant:

1. Photocopy as well as original copy of premium collection receipt being Receipt No. 3303404A, dated 13.04.2009.
2. Photocopy as well as original copy of first premium receipt being No. WC0004047708, dated 13.04.2009.
3. Photocopy as well as original copy of the Reliance Super Golden Year Plan (Single) (Policy Schedule).
4. Photocopy as well as original copy of Policy Book/ Documents.
5. Photocopy of Text Message sent by the O.P. to the complainant, dated 19.10.2021 about the maturity of the policy.
6. Photocopy as well as original copy of Demand Notice, dated 30.10.2021 issued by the complainant.
7. Photocopy of the Postal Receipts, dated 30.10.2021.
8. Photocopy of the Postal Track Report of the Demand Notice, dated 11.11.2021 and dated 01.11.2021.
9. Photocopy of the Postal Envelop return of the O.P. No.2 with a note as “Refuse” on 08.11.2021.
10.  Original copy of A/D Card.

           Regarding this instant case, the Opposite Parties (O.P.s) – 1) The Branch Manager, Reliance Life Insurance, Anil Dhirubai Ambani Group, Gitanjali Complex, 1^st Floor, Sevoke Road, P.O. & P.S.- Siliguri, Dist.: Darjeeling, Oin Code- 734001 and 2) The Registered Office, Reliance Life Insurance Company Limited, H Block, 1^st Floor, Dhirubai Ambani Knowledge City, Navi Mumbai, Maharashtra- 400710 contested the case by filing Written Version (W.V.) and as per their W.V. the case is as follows.

                             The brief fact of the case as per Written Version (W.V.) filed by the O.P.s             is as    follows-

         The O.P.s received one duly filled and signed proposal form for Policy named Reliance Super Golden Years Plan bearing Application No. A4495077 on 13.04.2009 and based on that they issued one Policy bearing No. 14376793 in favour of the Life Assured, i.e. Mr. Md. Sakir Chhotu, the complainant. The O.P.s received a sum of Rs. 40, 000/- (Rupees Forty Thousand) only as a single premium for a term of 12 (twelve) years on 13.04.2019 for the said policy and the maturity amount of the said policy was Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two and Thirty Three paisa) only and the maturity date of the said policy was 13.04.2021. The subject policy is a flexible unit-linked pension product that lets an individual allocate a part of his/ her savings to accumulate over a period of time and provide him/ her with steady income in the form of annuity/ pension. Hence, as per terms and conditions of the subject policy, although it is optional to commute the 1/3^rd of the fund value however, it is mandatory upon the Policyholder to take an annuity policy for 2/3^rd amount at the time of maturity of the subject policy. The disputed insurance policy is a Unit Linked Insurance Plan and it is well-settled proposition of law that investments made under Unit Linked Policy is a speculative gain and reliefs claimed under speculative investment matter do not come under the ambit of the Consumer Protection Act.

        The O.P.s also added in their W.V. that they follow a process of collecting a physical surrender request to ensure correct discharge of the Fund Value in favour of the Policyholder and hence, it is always expected from the Policyholder to approach at nearest branch and submit the Surrender/ Annuity request.      

List of documents filed by the O.P. No.1 are as follows-

1.  Copy of first premium receipt being No. WC0004047708, dated 13.04.2009.
2. Copy of Proposal Form being Application No. A4495077.
3. Copy of Driving License of the complainant.
4. Copy of Benefit Illustration of Reliance Super Golden Years Plan.

Having heard, the Ld. Advocate of both the side and on perusal of the Complaint, Written Version and documents filed by the parties the following points are taken to be decided by this Commission.

POINTS FOR CONSIDERATION

1) Whether the complainant is a consumer?

2) Whether the case is maintainable under the CP act 2019?

3) Whether this Commission has its jurisdiction to decide this case? 

4) Whether there is any deficiency in service in the part of the O.P. as alleged by the complainant?

5) Is the complainant is entitled to get any award and relief as prayed for? If so, what extent?

DECISION WITH REASONS

                    All the points are taken up together for consideration and decision.

Seen and perused the complaint petition and Written Version filed by the parties which are supported by the affidavit, documents filed by the parties. We are also heard arguments of both the parties in full length.

The complainant resides in Siliguri under Darjeeling district and the O.P. No.1 also carries his business in Siliguri of Darjeeling district. Thus, the Commission has no doubt that the complainant is a very much consumer as per the Consume Protection Act, 1986 and also as per Consume Protection Act, 2019 and also there is no doubt that this Commission has its territorial jurisdiction to decide this case.

At the time of argument Ld. Advocate of the complainant submits that the complainant has been able to prove its case against the O.P.s not only through his Written Deposition but also by producing documents.

The complainant is a policy holder of the O.P.s being Policy No. 14376793, corresponding to Contract No. 14393785, Client ID 09767859, Plan Name- Super Golden Year Plan (Single). This policy started from 16.04.2009 and matured on 13.04.2021. The complainant invested in the said policy a sum of Rs. 40, 000/- (Rupees Forty Thousand) only as a single premium for a term of 12 (twelve) years and on 13.04.2019 the O.P.s had duly received the said amount as a single premium, vide Receipt No. WC0004047708, Application No.- A4495077. Thus, this Commission does not hesitate to hold that as per the Consumer Protection Act, 1986 and also as per Consumer Protection Act, 2019 the complainant is a very much consumer in this case.

In this instant case, the complainant is a policy holder of the O.P.s being Policy No. 14376793, corresponding to Contract No. 14393785, Client ID 09767859, Plan Name- Super Golden Year Plan (Single). This policy started from 16.04.2009 and matured on 13.04.2021. The complainant invested in the said policy a sum of Rs. 40, 000/- (Rupees Forty Thousand) only as a single premium for a term of 12 (twelve) years and on 13.04.2019 the O.P.s had duly received the said amount as a single premium, vide Receipt No. WC0004047708, Application No.- A4495077 and after the maturity of the said policy, i.e., on 13.04.2021 the complainant was supposed to get Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two and Thirty Three paisa) only from the O.P.s and on 19.10.2021 the O.P.s also sent one message to the complainant for claiming the maturity amount from them. Subsequently, for claiming his benefits the complainant visited the office of the O.P. No.1, one agent of the O.P. No.1 refused to give the maturity amount of Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two and Thirty Three paisa) only to the complainant and told the complainant that he is only liable to claim the 30% of the claim amount and rest of the 70% of the maturity amount he needs to reinvest when as per terms of the insurance policy the O.P.s are legally liable to pay the maturity sum of Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two and Thirty Three paisa) only to the complainant.

The complainant on several times tried to contact with the O.P. No.1 to recover the said maturity amount but the O.P. No.1 deliberately ignored the complainant and the local Representative Office of the O.P. No.1 refused to make any correspondence with the complainant. Thereafter, on 30.10.2021 the complainant sent a demand notice to the O.P.s through which he requested them to refund his said assured maturity amount of Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two and Thirty Three paisa) only but did not get any result.

         In support of his defense, the O.P.s submitted that The O.P.s received one duly filled and signed proposal form for Policy named Reliance Super Golden Years Plan bearing Application No. A4495077 on 13.04.2009 and based on that they issued one Policy bearing No. 14376793 in favour of the Life Assured, i.e. Mr. Md. Sakir Chhotu, the complainant. The O.P.s received a sum of Rs. 40, 000/- (Rupees Forty Thousand) only as a single premium for a term of 12 (twelve) years on 13.04.2019 for the said policy and the maturity amount of the said policy was Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two and Thirty Three paisa) only and the maturity date of the said policy was 13.04.2021. The subject policy is a flexible unit-linked pension product that lets an individual allocate a part of his/ her savings to accumulate over a period of time and provide him/ her with steady income in the form of annuity/ pension. Hence, as per terms and conditions of the subject policy, although it is optional to commute the 1/3^rd of the fund value however, it is mandatory upon the Policyholder to take an annuity policy for 2/3^rd amount at the time of maturity of the subject policy. The disputed insurance policy is a Unit Linked Insurance Plan and it is well-settled proposition of law that investments made under Unit Linked Policy is a speculative gain and reliefs claimed under speculative investment matter do not come under the ambit of the Consumer Protection Act. The O.P.s followed a process of collecting a physical surrender request to ensure correct discharge of the Fund Value in favour of the Policyholder and hence, it is always expected from the Policyholder to approach at nearest branch and submit the Surrender/ Annuity request. In support of his statements, the O.P.s mentioned some judgments which are not relevant in this case.

          In order to prove the case, the Complainant has filed its evidence in the form of an Affidavit and in the Written Complainant has specifically corroborated the complaint and has stated on which day he purchased the said Policy from the O.P.s and also the single premium amount he paid to the O.P.s and the maturity amount along with the tenure of the said policy. The complainant has also stated the date of message sent by the O.P.s to him for claiming the maturity amount of the said policy. The Complainant has also stated on which day the end user meet the O.P. No.1 on behalf of him for solution. The Complainant has also stated in his evidence that the complainant communicated the O.P.s several times but did not get any result.

In view of above discussion and other materials on record we are of the view that this Commission has sufficient Jurisdiction to entertain this complaint as a consumer dispute and thereby this case is maintainable.

As per evidences and documents it is clear that the complainant successfully completed the policy period and it is a usual procedure that after completion of the policy period the policyholder should return back the benefit of the policy. In this case, it is clear that after completion of the policy period the O.P.s did not return back the full benefited amount of the said policy to the complainant. After completion of the policy period the O.P.s cannot force the complainant to reinvest the maturity amount or any share/ portion of the maturity amount to any other policy. In this case, the O.P.s referred the terms and conditions number 3.2 of the policy and for the sake of argument if we consider this point, then also there is a word “….may commute upon one third of the Fund Value as cash lumpsum….”.

So, it is clear from the policy terms and conditions that it is a choice of the policyholder to where he/ she will invest his/ her money. Hence, this Commission is of the view that there was a deficiency in service from the part of the O.P. In this instance case, the O.P. is liable.The complainant is entitled to get back his maturity amount of Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two) only of the said policy from the O.P..

          Hence, it is, therefore,

ORDERED

That the Consumer Case No. 94/2021 be and same is allowed on contest against the O.P. (Reliance Life Insurance Company Limited) with cost. In this instance case, the O.P. is liable.  

The O.P. is directed to refund the purchase amount of Rs. 1, 47, 482.33/- (Rupees One Lakh Forty Seven Thousand Four Hundred Eighty Two) only along with 6% simple interest per annum from the date of maturity of the said policy, i.e. from 13.04.2021 till the realization of entire amount within 60 (sixty) days from the date of this order, i.e. from 24.10.2024. The O.P. is also directed to pay Rs. 10,000/- (Rupees Ten Thousand) only for mental pain, agony and harassment and Rs. 10,000/- (Rupees Ten Thousand) only for litigation cost to the complainant. The O.P. is also directed to deposit Rs. 5,000/- (Rupees Five Thousand) only to the Consumer Legal Aid Account of this Commission. The O.P. shall pay the entire amount through an account payee cheque within 60 (sixty) days from the date of this order, i.e., from 24.10.2024, in default the complainant will be at liberty to execute the award as per law.  

  Let a copy of this judgment be given to the parties directly or through their representative Ld. Advocate for compliance free of cost.