BEFORE THE DISTRICT CONSUMER FORUM AT NALGONDA
PRESENT: SRI MAMIDI CHRISTOPHER,
PRESIDENT.
SMT.S.SANDHYA RANI,
FEMALE MEMBER.
. . .
WEDNESDAY, THE EIGHTH DAY OF JANUARY, 2020
CONSUMER COMPLAINT No. 44 OF 2017
Between:
1. Akarapu Anjalatha W/o Late China Kashaiah, Aged: 26 years,
Occ: Housewife,
2. Akarapu Akshitha Kalyani D/o Late China Kashaiah, Aged: 2 years,
Both are R/o Akkampally Village of P.A.Pally Mandal,
Nalgonda District.
…COMPLAINANTS.
AND
1. The Sanghamithra Co-operative Urban Bank Limited, Prakasham
Bazar, Nalgonda Town and District. Represented by its Branch
Manager.
2. The New India Assurance Company Limited, Divisional Office,
Sanghamithra Bank Complex, Prakasham Bazar, Nalgonda Town
and District. Represented by its Divisional Manager.
…OPPOSITE PARTIES.
This complaint coming on before us for final hearing, in the presence of Sri K.Ramesh, Advocate for the Complainants, and Sri P.Shyam Sundar, Advocate for the Opposite Party No.1, and Sri A.Suresh Babu, Advocate for the Opposite Party No.2, and on perusing the material papers on record, and having stood over for consideration till this day, the Forum passed the following:
ORDER OF THE FORUM DELIVERED
BY SRI MAMIDI CHRISTOPHER, PRESIDENT
1. The Complainant filed this complaint Under Section 12 of Consumer Protection Act, 1986 to direct the Opposite Parties to pay an amount of Rs.1,00,000/- towards the Policy amount, Rs.50,000/- towards mental agony and deficiency of services and Rs.10,000/- towards legal expenses and interest @ 12% p.a. from the date of death of late Akarapu China Kashaiah till the date of realization.
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2. The facts leading to the filing of this complaint are as follows:
The Complainant No.1 is the wife and Complainant No.2 is the minor daughter of the deceased Akarapu China Kashaiah. During the life time of Akarapu China Kashaiah, he opened an account vide S.B.Account No.21979 in the Opposite Party No.1 bank. The Complainant No.1 is the nominee to the said account. The Opposite Party No.1 bank had provided personal accident insurance to the account holders provided by Opposite Party No.2. The Opposite Party No.1 deducted an amount of Rs.15/- towards insurance premium from the account of the deceased China Kashaiah on 01/08/2015 and provided group insurance with personal insurance of Rs.1,00,000/- in case of accidental death. The said Akarapu China Kashaiah died in a road traffic accident on 21/04/2016 at the outskirts of Charagonda Village of Vangoor Mandal, Mahaboobnagar District. After the death of the insured, the Complainant No.1 submitted claim before Opposite Party No.1 on 20/05/2017 by enclosing all relevant documents to pay the personal insurance amount of Rs.1,00,000/-, but the Opposite Party No.1 had dodged and postponed the matter by making false promises. The Complainant No.1 got issued a legal notice, dated 19/09/2017 to the Opposite Parties calling upon to process the policy and to pay the insurance amount of Rs.1,00,000/- with interest @ 12% p.a. from the date of death of the said Akarapu China Kashaiah, to the Complainant No.1 within one week from the date of receipt of the legal notice, but the Opposite Parties did not give any reply. As such, the Opposite Parties No.1 and 2 failed to pay the policy amount of Rs.1,00,000/-, there was deficiency in service on the part of the Opposite Parties. Hence, the Complainants filed this complaint.
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3. The Opposite Party No.1 filed written version admitting the fact that Akarapu China Kashaiah opened an account, vide S.B.Account No.21979 in their bank and also admitted that they have deducted Rs.15/- towards insurance premium from the account of the said Akarapu China Kashaiah on 01/08/2015 and provided group insurance with personal insurance of Rs.1,00,000/- in case of accidental death under P.A.Policy. As Opposite Party No.1 provided group insurance with personal insurance of Rs.1,00,000/- in case of accidental death under P.A.Policy with the Opposite Party No.2 which is the insurance company and if any claim satisfies the terms and conditions of the policy, the Opposite Party No.2 have to pay the compensation amount and the Opposite Party No.1 has nothing to do with the claiming of compensation amount. Finally, the Opposite Party No.1 prayed for the dismissal of the complaint against them.
4. The Opposite Party No.2 filed written version stating that the deceased Akarapu China Kashaiah was having S.B.Account No.21979 with the Opposite Party No.1. The Opposite Party No.1 has provided personal accident insurance policy JPA insurance for Rs.1,00,000/- for each account active holder, renewal of monthly policy coverage of saving and current account holders and each account holder has to pay Rs.15/-. The Policy No.61320247152300000001 was issued by Opposite Party No.2 to the Opposite Party No.1 and the period of insurance is from 06/04/2015 to 05/04/2016 and that the account No.21979 pertaining to China Kashaiah is included in the list sent on 03/08/2015 after deducting premium from the account holders. The Complainants submitted the claim application to the Opposite Party No.2 by enclosing the copy of FIR, Inquest Report, PME Report stating
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that the said China Kashaiah has met with road accident on 21/04/2016 and died, but the said application was not forwarded by Opposite Party No.1 to Opposite Party No.2. The Policy covers from 06/04/2015 to 04/04/2016 midnight. The account holder died on 21/04/2016 which means the account holder is not covered under the said insurance policy. As per the terms and conditions of the policy, the Claimants have to submit their claim application within one year of accident, but as per their admission the claim application has submitted on 20/05/2017, i.e. after expiry of 21/04/2017. The Complainants are not entitled for any payment under the group insurance policy in view of death is not covered under the policy since the deceased died after the expiry date of the policy. As such, the deceased China Kashaiah is not covered under the P.A. Policy as he died on 21/04/2016 and the policy was expired on 04/04/2016.
5. The Complainant No.1 filed her proof affidavit and marked Exs.A-1 to A-18. Ex.B-1 was marked on behalf of Opposite Party No.1. No affidavit was filed on behalf of Opposite Party No.1. The Opposite Party No.2 filed his proof affidavit, but no documents were marked on behalf of Opposite Party No.2.
6. The points for consideration are:
1) Whether there was deficiency in service on the part of the
Opposite Parties No.1 and 2?
2) Whether the Complainants are entitled for the claims
as prayed for?
3) If so, to what extent?
7. POINT No.1:
The Complainant No.1 is the wife and Complainant No.2 is the minor daughter of the deceased Akarapu China Kashaiah. According
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to the Complainants, the deceased Akarapu China Kashaiah opened an account vide S.B.Account No.21979 with the Opposite Party No.1 bank, and the Complainant No.1 is the nominee of the said account. The Opposite Party No.1 bank had provided personal accident insurance to the account holders provided by Opposite Party No.2. The Opposite Party No.1 deducted an amount of Rs.15/- towards insurance premium from the account of the deceased China Kashaiah on 01/08/2015 and provided group insurance with personal insurance of Rs.1,00,000/- in case of accidental death. The said Akarapu China Kashaiah died in a road traffic accident on 21/04/2016 at the outskirts of Charagonda Village of Vangoor Mandal, Mahaboobnagar District. After the death of the insured,the Complainant No.1 submitted claim application (Ex.A-9) before Opposite Party No.1 on 20/05/2017 by enclosing all relevant documents to pay the personal insurance amount of Rs.1,00,000/-, but the Opposite Party No.1 had dodged and postponed the matter by making false promises. Thereby the Complainant No.1 got issued a legal notice (Ex.A-10), dated 19/09/2017 to the Opposite, but the Opposite Parties did not give any reply. Ex.A-11 are Postal Receipts and Ex.A-12 are Postal Acknowledgement Cards of Opposite Parties No.1 and 2. In spite of receiving the legal notice, the Opposite Parties No.1 and 2 did not give any reply, as such the Opposite Parties No.1 and 2 are liable to pay the policy amount to the Complainants as per the terms and conditions of the policy. As the Opposite Parties No.1 and 2 failed to pay the policy amount of Rs.1,00,000/- and caused mental agony to the Complainants, there was deficiency in service on the part of the Opposite Parties.
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8. The Opposite Party No.1 bank paid Rs.15/- towards policy amount to the Opposite Party No.2 by debiting the same from the account of the deceased Akarapu China Kashaiah. The Opposite Party No.1 provided personal accident insurance policy JPA insurance for Rs.1,00,000/- for each account active holder, renewal of monthly policy coverage of saving and current account holders and each account holder has to pay Rs.15/-. The Opposite Party No.1 received a claim from the Complainant No.1 on 20/05/2017 enclosed by all relevant documents to pay personal accident policy amount of Rs.1,00,000/- to the Complainants. The Opposite Party No.1 had also submitted the claim to the Opposite Party No.2 to pay the insurance amount of Rs.1,00,000/- together with interest and as such, there is no negligence on the part of the Opposite Party No.1 as Opposite Party No.1 paid the policy amount to the Opposite Party No.2. The Opposite Party No.1 filed Ex.B-1, which is the letter dated 02/08/2015 addressed by Opposite Party No.1 to the Opposite Party No.2 showing the list of account holders who covered under JPA Insurance. The fourth item of the list shows the amount and also inclusion of the account of the deceased. The second page of Ex.B-1 is the copy of Group Janatha Personal Accident Insurance Policy which shows the Policy number and period of insurance, i.e. from 02/08/2014 to 01/08/2015 and date of proposal as 02/08/2014. The Opposite Party No.1 immediately after the expiry of the insurance period of 01/08/2015, deposited an amount of Rs.15/- from the account of the deceased into the account of Opposite Party No.2, vide Ex.A-14, dated 03/08/2015. The Opposite Party No.2 has shown the period of insurance from 06/04/2015 to 05/04/2016 instead of 03/08/2015 to 02/08/2016 which would have covered the life of the deceased China
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Kashaiah, but as per Ex.B-1 the period is shown as 02/08/2014 to 01/08/2015, and immediately the Opposite Party No.1 transferred the amount to the Opposite Party No.2 vide Cheque and the same was received by Opposite Party No.2 and in such a case, the policy of the deceased will cover from 02/08/2015 to 01/08/2016. The Opposite Party No.2 has given two different period of insurance coverage dates. Ex.A-7 Bank Pass Book shows the amount deducted from the account of the deceased China Kashaiah towards insurance. The Opposite Party No.2 in order to avoid the payment of personal accident death claim has given the period of insurance from 06/04/2015 to 05/04/2016. There is no deficiency in service on the part of the Opposite Party No.1 as the Opposite Party No.1 in timely paid the insurance amount to the Opposite Party No.2 for coverage of Janatha Personal Accident towards their account holders. The Opposite Party No.2 has collected the amount from the Opposite Party No.1 to pay a sum of Rs.1,00,000/- under Janatha Personal Accident Policy to the account holders of Opposite Party No.1 in case of accidental death, but the Opposite Party No.2 failed to pay the policy amount to the Complainants. Therefore, there is deficiency in service on the part of the Opposite Party No.2 in not paying the amounts to the Complainants which they are entitled on account of death of the deceased China Kashaiah in the road traffic accident on 21/04/2016. As such, the Point No.1 is answered in favour of the Complainants.
9. POINTS No.2 & 3:
The Complainants are entitled for an amount of Rs.1,00,000/- towards Personal Accident Policy as the deceased Akarapu China
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Kashaiah died in the road traffic accident on 21/04/2016 and the policy was in force from 02/08/2015 to 01/08/2016 which covered the death of the deceased. In the light of findings under Point No.1 and in the light of the above observations, we are of the opinion that the Opposite Party No.2 is liable to pay Rs.1,00,000/- covered under the Janata Personal Accident Policy with interest @ 9% p.a. from the date of the complaint till realization, Rs.10,000/- towards mental agony and Rs.5,000/- towards costs to the Complainants.
In the result, the complaint is allowed in part, directing the Opposite Party No.2 to pay to the Complainants, a sum of Rs.1,00,000/- (Rupees One Lakh only) covered under the Janata Personal Accident Policy with interest @ 9% p.a. from the date of the complaint, i.e. 20/11/2017 till realization, Rs.10,000/-(Rupees Ten Thousand only) towards compensation for mental agony and Rs.5,000/- (Rupees Five Thousand only) towards costs, within one month from the date of receipt of this order. Out of the awarded amount of Rs.1,00,000/- (Rupees One Lakh only) and 9% p.a. interest amount, the Complainant No.1 shall be paid Rs.50,000/- (Rupees Fifty Thousand only) along with entire interest and Rs.10,000/- (Rupees Ten Thousand only) awarded towards compensation for mental agony and costs of Rs.5,000/- (Rupees Five Thousand only). The balance amount of Rs.50,000/- (Rupees Fifty Thousand only) shall be invested in fixed deposit in State Bank of India, Prakasham Bazar Branch, Nalgonda till the minor Complainant No.2 attains the age of majority or 18 years and thereafter the said amount shall be paid
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to the Complainant No.2. Time for compliance one month from the date of receipt of this order. The claim against Opposite Party No.1 is dismissed.
Dictated to Steno-Typist, transcribed by him, corrected and pronounced by us in the open Forum on this 8th day of January, 2020.
FEMALE MEMBER PRESIDENT
APPENDIX OF EVIDENCE
WITNESSES EXAMINED
For Complainants: For Opposite Parties:
Affidavit of the Complainant No.1. Smt.M.Jayasree, Div.Manager,
of Opp.Party No.2 Insurance
Company filed her affidavit on
behalf of Opposite Party No.2.
EXHIBITS MARKED
For Complainants:
Ex.A-1: Dt.22/04/2016 Attested copy of F.I.R. in Cr.No.27/2016
of PS.Vangoor of Mahaboobnagar District.
Ex.A-2: Dt.22/04/2016 Attested copy of Inquest Report.
Ex.A-3 Dt.22/04/2016 Attested copy of P.M.E. Report.
Ex.A-4 Dt.06/06/2016 Attested copy of M.V.I. Report.
Ex.A-5 Dt.25/06/2016 Attested copy of Final Report.
Ex.A-6 Dt.27/04/2016 Attested copy of Death Certificate.
Ex.A-7 Dt.25/07/2011 Original Bank Pass Book of the deceased.
Ex.A-8 Dt.01/06/2017 Attested copy of Family Member Certificate.
Ex.A-9 Dt.20/05/2017 Attested copy of application submitted by the
Complainant No.1 to the Opp.Party No.1.
Ex.A-10 Dt.19/09/2017 O/c of legal notice issued by the counsel for
the Complainants to the Opposite Parties.
Ex.A-11 Dt.19/09/2017 Postal Receipts ( 2 Nos.).
Ex.A-12 Dt.20/09/2017 Postal Acknowledgment Card [OP.No.1].
Ex.A-13 Dt.20/09/2017 Postal Acknowledgment Card [OP.No.2].
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Ex.A-14 Dt.03/08/2015 Attested copy of letter issued by Opp.Party
No.1 to Opp.Party No.2 showing the
particulars of Account holders who covered
under JPA Insurance.
Ex.A-15 Dt.04/08/2015 Attested copy of Group Janata Personal
Accident Policy.
Ex.A-16 Dt.22/05/2017 Attested copy of letter issued by Opposite
Party No.1 to the Opposite Party No.2.
Ex.A-17 Dt.31/05/2017 Attested copy of Statement of Account
of the deceased.
Ex.A-18 Dt.25/07/2011 Attested copy of Account Opening Form
of the deceased.
For Opposite Party No.1:
Ex.B-1 Dt.02/08/2014 Xerox copy of letter issued by Opp.Party
No.1 to Opp.Party No.2 showing the
particulars of Account holders who covered
under JPA Insurance along with Group
Janata Personal Accident Insurance Policy.
For Opposite Party No.2:
Nil.
PRESIDENT
DISTRICT CONSUMER FORUM
NALGONDA
