Order dictated by:

(Sh.Anoop Sharma, Presiding Member)

          The complainant has filed the present complaint under section 12 & 13 of the Consumer Protection Act on the allegations that during his service tenure, the complainant had purchased one Insurance Policy bearing No.130094762 for a sum assured of Rs.50000/- from Opposite Party under salary scheme and paid regular installments to Opposite Party through his salary account or in cash also. But however, the complainant could not continue the said policy and could not pay premium due to financial crises and he surrendered his original policy to the Opposite Party for payment of surrendered value/ amount in the month of June/ July, 2015 which was duly received by Opposite Party. The Opposite Party kept the complainant on promises that the payment will be released shortly, but till date, the surrendered amount of the policy has not been received by the complainant. The complainant was waiting for money for the last about one year and is in dire need of money. Vide instant complaint, the complainant has sought the following reliefs.

a)       Opposite Party may be directed to make the payment of the due amount/ surrender value of his policy with all benefits accrued on the policy from time to time alongwith interest @ 18% per annum from the date of surrender till final payment to the complainant.

b)      A compensation of Rs.20000/- on account of  mental pain,  agony and harassment suffered by the complainant may also be granted.

c)       Costs of the proceedings may also be granted in favour of the complainant. 

Hence, this complaint.

2.       Upon notice, Opposite Party appeared and contested the complaint by filing  written statement and submitted that  the complainant took policy in question for a sum assured of Rs.50,000/- with date of commence 28.1.1993. The above said policy is lying lapsed since 11/1998. However, the complainant had opted for surrender of his policy to the Opposite Party, but since the original policy bond was not surrendered by the complainant, his documents for surrender of policy were returned vide letter dated 27.1.2016 and he was asked to submit the same duly completed in all respect. During the scrutinising the documents, it was observed by the Opposite Party that surety on indemnity bond is given by Girish Kumar Madan, but surety form No. 3807 has been completed by Sewak Singh, agent code No.01182140, because as per the instructions on the indemnity bond and form No. 3807 to be completed by the same person. However, the complainant has not so far submitted the documents after the compliance. As such, the matter is pending for want of proper documents from the complainant.   Since the complainant has not made compliance of the letter dated 27.1.2016 as such, there is no delay on the part of Opposite Party in deciding the claim of the complainant.   Remaining facts mentioned in the complaint are also denied and a prayer for dismissal of the complaint with cost was made.

3.       In his bid  to prove the case, complainant tendered into evidence  affidavit Ex.C-1 in support of the allegations made in the complaint and also produced copies of documents Ex.C2 to Ex.C9  and closed his evidence.

4.       On the other hand, to rebut the evidence of the complainant, the Opposite Party tendered into evidence the affidavit of Sh.Rajinder Kumar, Manager (Legal and HPE) Ex.OP1/A and closed the evidence on behalf of the Opposite Party.

5.       We have heard the ld.counsel for the parties and have carefully gone through the evidence on record.

6.       Ld.counsel for the OP-Insurance Company has reiterated the averments made by the complainant in complaint and  submitted that the policy in dispute is lying lapsed since 11/1998. However, the complainant had opted for surrender of his policy to the Opposite Party, but since the original policy bond was not surrendered by the complainant, his documents for surrender of policy were returned vide letter dated 27.1.2016 and he was asked to submit the same duly completed in all respect. During the scrutinising the documents, it was observed by the Opposite Party that surety on indemnity bond is given by Girish Kumar Madan, but surety form No. 3807 has been completed by Sewak Singh, agent code No.01182140, because as per the instructions on the indemnity bond and form No. 3807 to be completed by the same person. However, the complainant has not so far submitted the documents after the compliance. As such, the matter is pending for want of proper documents from the complainant.   Since the complainant has not made compliance of the letter dated 27.1.2016 as such, there is no delay on the part of Opposite Party in deciding the claim of the complainant. On the other hand, ld.counsel for the complainant has repelled the aforesaid contentions of the ld.counsel for the OP-Insurance Company on the ground that the requisite documents/ information have already been submitted to the Opposite Party and the copies of the same are also placed on the record.  Ld.counsel for the Opposite Party has further argued that due to non submitting of the required papers/ documents, the Opposite Party could not settle the claim case of the complainant. So, we are of the view that although, as alleged by the complainant that he has already submitted the required documents with the Opposite Party, but to settle the claim case of the complainant, it is no hitch to the complainant, if the required  documents are again submitted with the Opposite Party. We are also supported with  a case law Oriental Insurance Company Ltd. Vs. Rajbir Kaur, in First Appeal No. 711 of 2013 decided on 27.2.2015 of Hon’ble State Commission, Punjab, Chandigarh, wherein in similar case, the Hon’ble State Commission, directed the Insurance Company and stated that as per the regulations/ instructions issued by the IRDA, the claims made under the insurance policies are ordinarily to be settled within one month of the submission of the claim.

7.       In such circumstances, we direct the complainant to submit the documents required by the complainant and to complete all other formalities with the Opposite Party within 7 days from the date of receipt of copy of this order and consequently,  Opposite Party shall process and settle the claim of the complainant either way, positively within further 30 days as per IRDA guidelines from the date of receipt of required documents from the complainant. The complaint is disposed of accordingly. However, the complainant is at liberty to file the fresh complaint after the final settlement of his claim, if he still not satisfy with the decision of the Opposite Party  No order as to costs. Copies of this order be supplied to the parties free of cost and the file be consigned to record room after compliance.   Case could not be disposed of within the stipulated period due to heavy pendency of the cases in this Forum.

Announced in Open Forum

Dated: 15.02.2017.