NEW INDIA ASSURANCE CO. LTD. Vs. SHIKHA BHATIA

JUDGEMENT

(1.) Appellant Insurance Company which was Opposite Party Nos.1 & 2 before the State Commission has filed this Appeal against the judgment and order dated 10.07.06 passed by the State Consumer Disputes Redressal Commission, Delhi (in short, 'the State Commission') in Complaint Case No. C-265/1997 wherein the State Commission allowing the complaint filed by the Respondent No.1 has directed the Appellant to pay additional compensation of Rs.3,00,000/- towards insurance cover and Rs.50,000/- as compensation for mental agony, harassment and costs of litigations.

(2.) Complainant's/Respondent No.1's husband was holder of Citi Bank Diners Club Card issued by the Respondent No.2, Citi Bank (Opposite Party No. 3 before the State Commission). Citi Bank had taken the Group Personal Accident policy for the year 1995-96 from the Appellant Insurance Company covering the risk of its card holders in case of death by accident for Rs.2 lakh and Rs.15 lakh in case of death while in flight. Respondent No.1's husband died in a car accident on 24.01.96. Respondent No.1 being widow of the deceased filed a claim with the Appellant on 22.4.96 along with the required documents.

(3.) Appellant Insurance Company paid Rs.2,00,000/- against the claim of Rs.5,00,000/- in full and final settlement of the claim to the Respondent No.1 and got the disbursement voucher signed from her. Complainant, being aggrieved, filed the complaint before the State Commission seeking balance claim amount along with interest of Rs.1,70,000/-, compensation of Rs.3,00,000/- for mental agony and costs of Rs.10,000/-.