SENIOR DIVISIONAL MANAGER, LIC OF INDIA Vs. RAJESHWARI

JUDGEMENT

(1.) This Revision Petition has been filed by Life Insurance Corporation of India (LIC) under Sec. 58(1)(b) against the impugned Order dtd. 9/5/2023 passed by the State Consumer Disputes Redressal Commission, Hyderabad in F.A. No. 73 of 2022, vide which the Appeal filed by the Petitioner was dismissed, and the Order of the District Forum was upheld.

(2.) The factual background, in brief is that Chandanala Padmavathi, daughter of the Complainant, took an Insurance Policy named 'Jeevan Anand' under the 'Non-Medical Special' category for a basic sum assured of Rs.6,50,000.00 with premium amount of Rs.3,314.00 per month, and its date of commencement was 5/5/2014. The Life Assured passed away due to Systemic Lupus Erythematosus on 26/2/2016 within a period of 1 year, 8 months and 14 days from the commencement of policy. The Petitioner repudiated the claim on the ground that the Deceased Life Assured (DLA) had made deliberate misstatements and withheld material regarding her health at the time of taking the Insurance. The Respondent being the mother and nominee of the DLA filed her Complaint before the District Forum, Ranga Reddy, alleging wrongful repudiation.

(3.) The District Forum vide its Order dtd. 10/11/2021 partly allowed the Complaint and directed the Petitioner to pay Rs.6,50,000.00 along with interest @6% p.a. from 20/9/2016 till date of realisation and Rs.10,000.00 towards compensation besides costs of Rs.5,000.00. The Petitioner appealed before the State Commission which dismissed the Appeal vide the impugned Order dtd. 9/5/2023, and upheld the Order of the District Forum.