ALOK JAIN S/O JUGAL KISHOR JAIN Vs. BAJAJ ALLIANZ GENERAL INSURANCE CO LTD & 2 ORS; BAJAJ ALLIANZ LIFE INSURANCE CO LTD; CENTRAL BANK OF INDIA THROUGH BRANCH MANAGER, BRANCH AKALTARA

JUDGEMENT

(1.) Late Smt. Usha Jain, mother of the complainant obtained an insurance policy from the respondent Bajaj Allianz General Insurance Company Limited. The first premium to the insurer was paid by her husband by withdrawing a sum of Rs.2,500/- from an account which he had with Central Bank of India and depositing the same by way of a deposit slip. Thereafter, the premium was not paid as a result of which the policy lapsed. The insured having died, a claim in terms of the policy was lodged by the complainant with the insurer. The claim was rejected on the ground that the policy had lapsed before the death of the insured and only a sum of Rs.1,869/- was paid to the complainant he being her nominee.

(2.) Being aggrieved from the stand taken by the insurer, the complainant approached the concerned District Forum by way of a consumer complaint impleading the insurer as well as the bank as parties to the complaint.

(3.) The complaints were resisted by both the parties. The insurer claimed that since they had not received any payment after the first premium, the policy has lapsed. The bank claimed that the deceased insured did not have any account with them and they did not have any standing instructions from her husband to remit the installments of premium from his account to the insurer.