Page 31 - Life Insurance Today January 2018

Sahoo had taken a life Insurance policy from the OP in the Bhubaneswar Ombudsman Centre
year 1997 in the name of his minor son, the present
complainant for a sum assured of Rs.50000/- (Fifty Complaint No-BHU-L-029-1516-0337 SB Claim
thousand only) for a policy term of 19 years with premium Mr. Pruthwiraj Rao
payable for 11 years. On attaining majority, the OP had to
pay survival benefit in every two years at a specified Vrs
percentage of sum assured. The OP paid him 1st and 2nd
installments of survival benefit in due time. But the 3rd M/S. LIC of India, Bhubaneswar
survival benefit was paid less and the 4th survival benefit
was not paid at all in spite of his repeated request. Finding The complainant had taken a life insurance money back
no alternative he approached this forum for Redressal. On policy from the OP on 10.02.2011 and the first money back
the other hand, the OP filed SCN and stated that some was due on 10.02.2014. He did not receive any payment
error took place in their payment module for which the from the OP for the said due. In spite of his repeated
matter had already been referred to its higher office. The letters, there was no response from the OP. Being
OP waited for necessary corrections and the survival frustrated; he approached this forum to redress his
benefit would be paid very soon. grievances.

I have elaborately perused the policy bond. The sum On the other hand, the OP filed SCN and submitted that
assured is Rs. 50,000/-. The face of the policy bond clearly due to change of address of the complainant after
reflects the events on the happening of which payment s retirement, the money back cheque of Rs7500/- for 11/
are to made by the Insurer. Admittedly, 1st and 2nd 02/2014 due returned undelivered. However, after getting
Survival Benefits have been duly paid to the complainant the correct address, the OP had already paid Rs.7500/-
and there is absolutely no grievance to that effect. The 3rd vide cheque no- 25379 on 17/12/2015. So the complaint
Survival Benefit of Rs. 15,000/- became due on may be dropped.
15.12.2012. But OP paid Rs. 10,000/- on 06.06.2013. So
there was a less payment of Rs. 5000/-. Further, the 4th On scrutiny of available papers, particularly, the policy
Survival Benefit of Rs. 15,000/- which became due on conditions, it is found that the OP has to pay 1st survival
15.12.2014 was not paid to the complainant. As such, he Benefit at a certain rate on completion of 3 year term.
is entitled to get total survival benefit of Rs. 20,000/- from Accordingly, the 1st S.B. was due on 11/02/2014. Due to
the insurer who is liable to pay appropriate interest on the retirement of the complainant from the service, he shifted
said amount as per IRDA (PPHI) Regulations, 2002. Having his place of residence from Etawah, UP to Bhubaneswar
regard to the peculiar facts and circumstances of the case in 2012 and the same was not intimated to the OP.
the OP is hereby directed to pay the complainant a total
survival benefit of Rs, 20,000/- alongwith interest @ 2% So the 1st survival payment of Rs.7500/- in cheque
above bank rate prevalent in the beginning of the current returned undelivered. However, it is quite apparent from
financial year w.e.f. 15.12.2012 till 06.06.2013 on Rs. the payment details that in the meanwhile the OP has
5000/- and w.e.f. 15.12.2014till the date of actual payment made payment of the 1st S.B. due through cheque dated
on the remnant. 04.12.2015 and the complainant has already enchased it
on 17.12.2015. Since the grievance of the complainant has
Award : Taking into account the facts & circumstances of
already been resolved, there is no need to proceed further.
the case and submissions made on behalf of OP at the time
In such circumstances the complaint deserves dismissal.
of hearing, a sum of Rs.20000/-(Twenty thousand) along
with interest as indicated above is hereby awarded to be
paid by the Insurer to the Insured, towards full and final Award : Taking into account the facts & circumstances of
settlement of the claim. Hence, the complaint is treated the case and submissions made by the OP during the
as allowed. course of hearing, the complaint is treated as dismissed.
“Maturity Claim, survival Benefit claim & Annuity cases. T

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Life Insurance Today January 2018 31

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