Page 140 - Suri’s - NCDRC ON LIFE INSURANCE 2017 V1.3

Suri’s - NCDRC ON LIFE INSURANCE 2017 140

to the complainant on the basis of the IRDA circular dated
21.12.2005, or the new circular issued in the year 2010 - IRDA

(treatment of discontinued link insurance policies) Regulations
2010 were notified on 01.07.2010, whereas the policy was dis-

continued in the year 2011 and hence, the cause of action oc-

curred to the complainant in March, 2011, which was much after
the said regulations came into force - The State Commission

also observed that the Consumer Protection Act, 1986 is a benefi-

cial legislation enacted with a view to protect the interests of the
consumer. Hence, wherever two interpretations are possible, the

interpretation beneficial to the consumer, should be adopted. A
harmonious construction of regulations 1(2) and 2(1)(iv) of 2010

regulations would show that these are applicable in the case of
policies, discontinued after coming into force of such regulations

- I have no reason to disagree with the findings given by the

State Commission that the regulations of 2010 are applicable in
the present case and hence, the surrender value is to be deter-

mined as per the terms and conditions in the 2010 regulations.
...29

Material concealment - Fact about his intake of alcohol in the proposal
form - Medical documents after his death, he was reported to be

a chronic alcoholic with hypertension, ALD, Cirrhosis etc., but

there is no material to establish that any of these conditions were
occurring at the time of issuance of the policy - It has also been

stated in the said documents that the deceased was suffering from

hypertension for the last one year - However, any basis for men-

INDEX