Order No. 26 dt. 17.07.2017

              This complaint U/S. 12 of the Consumer Protection Act,1986 has been filed by the petitioner Sri Kanailal Das. According to the complainant that Tata Aig Life Insurance Company and its agent approached the complainant to have a policy with assurance that if he would make payment of premiums for three consecutive years and make surrender of the policy then he would be entitled to get handsome return. Then the complainant with such assurance made a policy on 15.01.2010 and with a stipulation of expiry of the policy was on 01.01.2025. The complainant accordingly make payment of three annual premiums @ Rs.20000/- and thereafter approached the Malda Branch of the said insurance company with a written prayer to make payment him the assured handsome amount on 03.02.2015 but the insurance company did not make such payment. So he claims compensation of Rs.200000/- as immediate disbursement and another amount of compensation of Rs.50000/- for harassment and mental agony.

               The O.P. Nos. 1 and 2 insurance company after receiving notice of the case submitted the written version and contended that the claim of the petitioner was false and misconceived. The positive case of the opposite party is that since 2013 no premium was paid by the complainant and the insurance company could not collect the amount of the third premium of the said policy paid by the complainant by cheque and the said cheque amount was still lying in suspense account of UBI.

             Accordingly, the case of the O.P. is that the instant policy has become lapsed and for not paying the premiums for three consecutive years the policy has automatically dissolved by lapse of time and presently, the complainant has no cause of action.

              In the subsequent events of the proceeding of this case the cost of Rs.10400/- was imposed upon the O.Ps and the opposite parties did not make payment of the said cost passed by the Forum. The case was heard ex parte.

              The complainant to prove his case submitted his affidavit –in-chief  and also produced the policy books along with cheque deposit slips, premium payment statement, premium application and Lawyer’ letter .

              Points for decision:   

1. Has the complainant any cause of action?
2. Was there any deficiency of service on the part of the O.P. Insurance Company?
3. To what relieves the complainant entitled thereto?

DECISION WITH REASONS

              All the points are taken up together for the discussion.

              Admittedly, the complainant is a policy holder of Tata AIG Life and the said policy was commenced on and from 15.01.2010 by making first premium of Rs.20000/- on 06.01.2010. The next premium was realized by a cheque issued by the complainant    dt. 15.01.2011. The third premium was paid by a cheque deposited on 11.01.2012. The statement issued by the O.P. Company speaks that three consecutive premiums were realized by the O.P. Company and cheques were duly deposited for clearance through their banker and according to the terms of the policy the face value of the policy up to the date of 3^rd premium realization the insurer is entitled to get refund the said value of the policy if the policy become lapsed for not making payment of the 4^th annual premium or onwards and in that case remaining total fund value shall be returned back to the policy holder. The complainant vide letter dt. 03.02.2015 asked the O.P. to redeem the said policy and pay the redeemable amount. The insurance company has violated the policy contract did not redeem the policy value. The complainant has proved his case successfully and deficiency of service on the part of the O.P. insurance company has become crystal clear. Accordingly, all the points are disposed of.

            Proper fee paid

                           Hence,                            ordered

that the compliant u/s 12 of C.P. Act, 1986 hereby allowed ex parte against O.P. Nos. 1 to 2. 

           The Forum in view of Sec. 14 of C.P. Act, 1986 is hereby asked the O.P. Nos. 1 and 2 to refund Rs.60000/- (value of three annual premiums) to the complainant along with interest @ 6% p.a. to be calculated from 03.02.2015 within one month failing which another interest @ 6% p.a. to be imposed over the awarded amount.

           If the opposite parties fail to comply the order, the complainant will be at liberty to put the decree into execution. 

           Let a copy of this order be given to the petitioner free of cost and to O.P. Nos. 1 and 2 by registered post with A.D.