State Consumer Disputes Redressal Commission
The Post Master, Main Post Office, ... vs Smt. Savitri Devi Widow Of Amar Singh Son ... on 23 December, 2013
STATE CONSUMER DISPUTES REDRESSAL COMMISSION HARYANA, PANCHKULA First Appeal No.713 of 2013 Date of Institution: 08.10.2013 Date of Decision: 23.12.2013 1. The Post Master, Main Post Office, Bhattu Kalan, Tehsil & District Fatehabad. 2. Superintendent Post Office, Division Hisar, District Hisar. 3. Deputy Divisional Manager (PLI), Divisional Post Office Ambala, District Ambala. Appellants (Opposite Parties) Versus 1. Smt. Savitri Devi widow of Amar Singh son of Megha Ram. 2. Vikram minor son of Amar Singh son of Megha Ram Residents of Bhattu Kalan, Tehsil & District Fatehabad minor through Savitri Devi mother and natural guardian. Respondents (Complainants) CORAM: Honble Mr. Justice Nawab Singh, President. Mr. B.M. Bedi, Judicial Member. Mrs. Urvashi Agnihotri, Member. For the Parties: Sh. G.C. Babbar, Advocate for the appellants Sh. Saleem Ahmed, Advocate for the respondents O R D E R
Justice Nawab Singh, President (Oral):
Amar Singh since deceased (Insured) had purchased Postal Life Insurance Policy from Post Office Bhattu Kalan (appellant No.1 ) on 09.03.2010 whereby he was assured for an amount of Rs.1,20,000/-. The insured paid regular premium upto October, 2010. On 7th April, 2011 he deposited all the arrears of premium due for the intervening period of October, 2010 to 7th April, 2011. He died on 11th April, 2011.
2. Smt. Savitri Devi and Vikram, widow and son of insured, (respondents herein) requested the appellant No.1 to pay the sum assured being the legal heir of the insurant. The appellant No.1 refused to pay the amount on the ground that insurant did not pay the premium due in time.
3. Respondents filed complaint under Section 12 of the Consumer Protection Act before District Consumer Disputes Redressal Forum, Fatehabad (for short the District Forum). The appellants filed written statement denying the averments made by the respondents.
4. The District Forum accepted the complaint vide order dated 30th August, 2013 directing the appellants to pay Rs.1,20,000/- alongwith the interest at the rate of 9% per annum from the date of filing of the complaint till its realization.
5. The appellants have filed the instant appeal challenging the order passed by District Forum.
6. Learned counsel for the appellants has urged that since the premium was not paid by the insured alongwith the arrears together with interest the payment was held in abeyance and as such was not considered as payment by way of premium to cover the risk of the assured. In view of that policy was not considered to be re-instated.
7. The submission made is not tenable in view of Clause 7 of Terms of Contract (Annexure R-1), whereby in the event of a policy holder of a lapsed policy desiring automatic re-instatement of the policy within a period not later than six months or a period not later than 12 months from the date of first unpaid premium had become due in respect of such policies that have not completed 3 years, or in respect of such policies that have already completed 3 years from the date of acceptance respectively, the insured may deposit all the arrears of premium till the date of such payment along with interest thereon at the rates prescribed by Director General of Posts in the specified Post Office and informed the Chief Postmaster General. Indisputably the insurant had deposited all the arrears of permia within a period of six months from the date of the last premium paid by him that is October, 2010 because the arrears of permia were paid on 7th April, 2011. Since the appellants accepted the arrears of permia, the policy automatically gets revived.
8. In view of above, the District Forum was justified in granting the sum assured to the respondents.
9. The appeal is therefore dismissed.
10. The statutory amount of Rs.25,000/- deposited at the time of filing the appeal be refunded to the complainants against proper receipt and identification in accordance with rules, after the expiry of period of appeal/revision, if any.
Announced:
23.12.2013 Urvashi Agnihotri Member B.M. Bedi Judicial Member Nawab Singh President CL