ORIENTAL INSURANCE CO Vs. DEEPAK KUMAR MAKHIJA

JUDGEMENT

(1.) This appeal, under Sec.15 of the Consumer Protection Act, 1986 , is directed against the order dated 18.8.2003 in Complaint No.382/02 by District Consumer Disputes Redressal Forum, Durg (hereinafter called the 'distt. Forum' for short) allowing the complaint and directing the appellant insurer to pay the sum of Rs.5.00 lacs with interest @ 9% per annum as well as Rs.1,000/- as cost of the complaint.

(2.) Undisputably Rishabh Kumar Jain, husband of the complainant was an employee of Bhilai Steel Project and as a member of the Bhilai Steel Workers' Union and obtained from appellant/insurer a group Janta Personal Accident Insurance policy (hereinafter called the 'janta Policy' for convenience) bearing No.152501/47/99/00176 covering the risk for the period from 9.1.1999 to 8.1.2011. The certificate of insurance was issued in favour of Rishabhkumar Jain by the appellant/insurer. It is not in dispute that on 29.4.2002 the insured Rishabh Kumar Jain died in a road accident. The complainant, the wife of the insured Rishabh Kumar Jain, lodged claim with the appellant/insurer but the appellant/insurer repudiated her claim. Hence, the complaint was filed before the Distt. Forum.

(3.) Appellant insurer resisted the claim mainly on the ground that as per stipulation in the policy, the appellant/insurer had the right to cancel the policy at any time. It was further averred that cancellation of the said policy had been intimated by its letter dated 26.11.2001 addressed to Secretary, Steel Workers' Union. Appellant/insurer averred that in view of the cancellation of the policy by it, the complainant/respondent was not entitled to get any benefit under the policy.