Page 13 - Suri’s - NCDRC ON LIFE INSURANCE 2017 V1.3

Suri’s - NCDRC ON LIFE INSURANCE 2017 13

Present Revision Petition has been filed by the Petitioner/ Complainant against the
impugned order dated 10.07.2017, passed by Haryana State Consumer Disputes Re-
dressal Commission at Panchkula (for short, ‗State Commission‘) in (F.A. No. 868 of
2016).
2. Brief facts of the case as per Petitioner are that Sachin Chhabra, aged 20
years, since deceased, son of the Petitioner, purchased a Life Insurance Policy on
16.05.2011 from the Respondent/Opposite Party. The sum insured in the insurance
policy was Rs.5,00,000/-. The insured died on 09.02.2013. The claim submitted by
the Petitioner was repudiated by the Respondent. Hence, Consumer Complaint under
Section 12 of the Consumer Protection Act, 1986 was filed by the Petitioner before
the District Forum and had sought the following relief;
“the opposite parties may kindly be directed to pay the amount of claim
amounting to Rs.5,00,000/- to the Complainant, bonus and other benefits along
with interest thereon @ 18% p.a. from the date of death of deceased till payment
to Complainant and also to pay another amount of Rs.50,000/- to the Complainant
on account of unnecessary harassment and litigation expenses.”

3. The Respondent in its written version denied all the averments of the Com-
plaint. The Respondent stated that prior to purchase of the policy, insured was a pa-
tient of Thalassemia as per the record. He had not disclosed the same in his proposal
form and as such the Respondent was not liable to pay the insured amount to the Peti-
tioner.
4. The District Consumer Disputes Redressal Forum, Rohtak (for short, ‗Dis-
trict Forum‘), while allowing the Complaint, vide its order dated 02.08.2016, gave the
following order;
“ In view of the facts and circumstances of the case it is observed that opposite
parties hall pay the sum assured under the policy No.178972049 i.e. Rs.5,00,000/-
(Rupees Five lac only) along with interest @ 9% p.a. from the date of filing the
present complaint i.e. 23.05.2014 till its actual realization, other benefits under the
policy, if any and shall also pay the amount of Rs.3,500/-(Rupees Three thousand
five hundred only) as litigation expenses to the Complainant maximum within one
month from the date of decision failing which the awarded amount shall carry fur-
ther interest @ 12% p.a. from the date of decision. Complaint is allowed accord-
ingly.”
5. Being aggrieved by the order of the District Forum, the Respondent pre-
ferred an Appeal before the State Commission. The State Commission, vide their or-
der dated 10.07.2017, while allowing the Appeal of the Respondent observed as un-
der;
th
“5. The insured purchased insurance policy on May 16 2011, prior to the
purchase of the insurance policy, insured as a patient of Thalassemia as is evident
from certificate (AnnexureA-4). In the column documentary proof, it has been
clearly mentioned that the life assured has Thalassemia Major since childhood.
Dr.Sundeep Jain, M.D. (M.D.), Jain, Lifecare, Rohtak has also given opinion (An-
nexureA-4) that the life assured was known case of Thalassemia Major since
childhood.
6. It is a well settled proposition of law that a contract of insurance is

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