DISTRICT CONSUMER DISPUTES REDRESSAL FORUM PALAKKAD
Dated this the 7th day of March 2012
Present : Smt.Seena H, President
: Smt. Preetha.G. Nair, Member
: Smt. Bhanumathi.A.K, Member Date of Filing : 3/12/2011
(C.C.No.192/2011)
Sankunni.P.P
Panthaparambil House,
Sreenilayam,
Kalladathur (PO),
Palakkad – 679 552 - Complainant
V/s
1.The Chairman,
Life Insurance Corporation of India,
Central Office, Yogakshema,
Jevan Bhima Marg, PO-19953,
Mumbai – 400 021
(By Adv.T.P.George)
2.The Manager,
LIC India,
Ottapalam Branch,
Ottapalam – 679 101
Palakkad - Opposite parties
(By Adv.T.P.George)
O R D E R
By Smt.SEENA.H, PRESIDENT
Complainant absent. Opposite parties represented. Posted for the affidavit of complainant as last chance. No affidavit filed. Hence dismissed for default.
Pronounced in the open court on this the 7th day of March 2012.
Sd/-
Seena H
President
Sd/-
Preetha G Nair
Member
Sd/-
Bhanumathi.A.K.
Member
Forwarded/By Order,
Senior Superintendent
Fair copy on : 15/03/2012
Despatched on:
CONSUMER DISPUTES REDRESSAL FORUM
PALAKKAD, KERALA
Dated this the 15th day of May, 2012.
Present: Smt. Seena. H, President
: Smt. Preetha. G. Nair, Member
: Smt. Bhanumathi. A. K, Member Date of filing: 03/12/2011
CC / 192/ 2011
Sankunni.P.P,
Panthaparambil House, - Complainant
Sreenilayam, Kalladathur P.O,
Palakkad-679 552.
(BY Party in Person)
Vs
1. Chairman,
LIC of India,
Central Office, Yogakshema,
Jevan Bhima Marg, PO-19953
Mumbai-400021
(BY ADV. T.P. GEORGE)
2. Manager,
LIC of India,
Ottappalam Branch,
Ottappalam P.O, 679 101 - Opposite parties
Palakkad.
(BY ADV. T.P. GEORGE)
O R D E R
BY SMT. SEENA.H, PRESIDENT
Complaint in brief:-
Complainant deposited an amount of Rs.4 lakhs in five No: of LIC's Market Plus Plan Policies vide Policy numbers 776089736, 776089738, 776089771, 776375660 and 770379090. In the first 4 policies amount of Rs.50,000/- each was deposited and in the last policy Rs.2 lakhs was deposited. As per the LIC agency the Market policy description is that the amount deposited will get doubled after 3 years. After 3 years on 29/10/2011, complainant approached opposite party for withdrawing the amount. Complainant was shocked to know that he will get only Rs.4,24,056/-(Rupees Four lakh twenty four thousand and fifty six only) in total for all 5 policies. The grievance of the complainant is that after 4 years of deposit of the amount, he has not received any increase in the deposited amount. Hence the complaint. Complainant claims Rs.4 lakhs with 12% interest and Rs.1 lakh along with compensation & cost.
Opposite parties filed version. Policy is admitted by the opposite parties. The policy which the complainant joined is LIC's Market Plus Plan which is specifically stated in the proposal form itself. Policy is subject to market risk. Policy is issued subject to the terms and conditions and privileges printed on the policy documents itself. As per clause 20 of the policy document, risk is to be borne by the life assured. At any time during the policy term, the value of the policy holders unit account shall be the number of units in the account multiplied by the NAV of the units on that date. The NAV of units may increase or decrease depending upon the investment performance of the fund. The number of units in the account of the complainant multiplied by the NAV as on date was paid to the complainant. Opposite parties has also adviced the complainant not to surrender the policy when the market is low. Further opposite parties never advertised or propagated that the market plus policy will get doubled after 3 years. Hence there is no deficiency in service on the part of the opposite parties.
The evidence adduced by the parties consists of their respective chief affidavits. Ext.A1series &A2 series marked on the side of the complainant. Ext.B1 to B13 marked on the side of opposite parties.
Issues for consideration are:
1. Whether there is any deficiency on the part of opposite party?
2. If so, What is the relief and cost entitled to the complainant?
Issues I & II
It is an admitted fact that the complainant has deposited Rs.4 lakhs in various market plus plans issued by the opposite parties. The say of the complaint that as per the plan the amount deposited will get doubled after 3 years is not supported by any evidence. By going through Ext.B2, Ext.B6, B9, B12 policy certificates, it is understood that it is a unit linked policy which is subject to market risk. Complainant has signed the proposal form there by accepting the terms and conditions of the policy. Complainant has not disputed the calculations adopted by the opposite parties. Opposite parties has paid the amount adopting the formula, number of units held multiplied by NAV as on the date of surrender.
We understand that the complainant has deposited the amount under high expectation and the complaint in the result of loss of that expectation. Market plus plan being an unit linked policy is subject to market variation. Insurance being a contract between the parties, they are bound by the terms and conditions of the policy. It is settled position that forum cannot go beyond the terms and conditions of the policy. We find that opposite party has paid whatever amount complainant is entitled to as per the policy. Hence we are not in a position to attribute any deficiency in service on the part of opposite parties.
In the result complaint dismissed.
Pronounced in the open court on this the 15th day of May, 2012
Sd/-
Smt. Seena. H
President
Sd/-
Smt. Preetha.G.Nair
Member
Sd/- Smt. Bhanumathi.A.K
Member
A P P E N D I X
Exhibits marked on the side of complainant
Ext. A1 series – LIC first premium receipt dt.10/01/08 and 6/12/07
Ext. A2 series – Letters dt 29/10/2011 and 2/11/11 (5 in nos)
Exhibits marked on the side of opposite party
Ext. B1 – Proposal form for LIC's Market Plus Plan dt.18/09/2007 attested true copy
Ext. B2 - Market Plus Policy bond dt.19/09/2007 attested true copy
Ext. B3 – Letter for surrender of policy No.776089736 attested true copy.
Ext. B4- Surrender value payment voucher attested true copy
Ext.B5 – Proposal form No.20511 dt.18.9.07 attested true copy
Ext.B6 - Policy bond policy No.776089738 date.19/09/2007attested true copy
Ext.B7- Surrender value payment voucher dt.29/10/2011 attested true copy
Ext.B8 – Proposal form No.26719 dt.04.12.07 attested true copy
Ext.B9 - Policy bond policy No.776375660 date.06/12/2007attested true copy
Ext.B10- Surrender value payment voucher dt.2/11/2011 attested true copy
Ext.B11– Proposal form No.30314 dt.09.1.08 attested true copy
Ext.B12 - Policy bond policy No.776379090 date.10/1/2008 attested true copy
Ext.B13- Surrender value payment voucher dt.31/10/2011 attested true copy
Witness examined on the side of complainant
Nil.
Witness examined on the side of opposite party
Nil.
Cost allowed
No cost allowed.
