L I C OF INDIA Vs. BIMALA ROUTRAY

JUDGEMENT

(1.) THIS is an appeal against the order passed by the State Commission, Orissa in complaint No.117190 before them.

(2.) THIS facts of the case as found by the State Commission are: Shri Jayanta Kumar Routray, husband of Complainant/Respondent gave a proposal to the Corporation for insuring his life under double benefit scheme on 22.2.1987. First premium was paid on 11.3.1987. Proposal papers were submitted to the branch office of appellant on 14.3.87. Next day on 15.3.1987, Jayanta while driving a motorcycle met with anaccident and was declared dead at the S.C.B. Medical College Hospital, Cuttack where he was taken. On 19.3.1987 the proposal was accepted (more rightly "found in order") resulting in the issuance of a policy with date of commencement of risk on 27.3.1987. The policy was for Rs. 20,000/- and "a double accident benefit" of another Rs. 20,000/- was available under the policy. On 30.11.1987, Respondent submitted the claim form. On 19.5.1988, Opposite Party found that the Respondent is not entitled to the amount covered under the risk but decided to make ex-gratia payment of Rs. 20,472/-. On 30.4.1988 ex-gratia payment was made to the complainant in full and final settlement of the claim. These sums included the basic sum assured, the bonus and less the unpaid premium. After the full and final payment voucher was signed by the respondent, on 29.9.1988 Respondent made a claim for further sum of Rs. 20,000/- towards double accidental benefit. The claim not having been accepted, a complaint was filed for compensation for Rs. 1,20,000/-with interest at 18% with effect from l4.3.1987 when the proposal was submitted.

(3.) THE State Commission gave their consideration to various points viz.