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Madras High Court

The Zonal Manager vs Mrs.R.Seethammal on 15 July, 2025

Author: J.Nisha Banu

Bench: J.Nisha Banu

                                                                                                  W.A.No.408 of 2024

                                  IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                  DATED: 15.07.2025

                                                          CORAM

                                  THE HONOURABLE MRS.JUSTICE J.NISHA BANU
                                                  AND
                                  THE HONOURABLE MR.JUSTICE M.JOTHIRAMAN
                                                  W.A.No.408 of 2024
                     1. The Zonal Manager,
                        LIC of India,
                        Zonal Office, Anna Salai,
                        Chennai-600 002.

                     2. The Senior Divisional Manager,
                        LIC of India,
                        India Life Building, Divisional Office,
                        1543/44, Trichy Road,
                        Coimbatore-641 018.

                     3. The Senior Branch Manager,
                        LIC of India,
                        Vella Pilliaiyar Koil Street,
                        Bhavani.                                                       ... Appellants/Respondents
                                                               -vs-
                     1. Mrs.R.Seethammal
                     2. Mr.Suganthan
                     3. Mrs.Mekala                                                     ... Respondents/Petitioners
                     Prayer: Writ Appeal is filed under Clause 15 of the Letters Patent, seeking
                     to set aside the order dated 12.04.2023 passed in W.P.No.25173 of 2017.
                                         For Appellants    : Mr.R.S.Anandan
                                         For Respondents : Mr.A.Arokia Satheesh
                                                        *****

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                                                                                       W.A.No.408 of 2024

                                                     J UD G M E N T

                                              (By J.Nisha Banu,J.)
                                  A challenge in the Writ Appeal is to the order dated

                     12.04.2023 passed in W.P.No.25173 of 2017, by which, the Writ Petition

                     was allowed, with a direction to the respondents therein to settle the eligible

                     benefits under the Group Insurance Scheme.



                                  2. The case of the appellants is the husband of the 1st

                     petitioner, who was an LIC Agent died on 18.04.2013 and he was a member

                     of the Group Insurance Scheme, which was introduced for the welfare of

                     its own Agents. The eligibility condition of the policy was between 18 years

                     to 65 years, insofar as the confirmed agent is concerned. As the deceased

                     Agent crossed the age of 65 years well before his death, the respondents are

                     not eligible for the benefits out of the policy and there is no possibility to

                     relax the terms and conditions of the Policy for any individual. Though

                     learned Single Judge held that the deceased Agent has crossed the age of

                     65, still he falls within the benefit of the LIC, which is contradictory. It is

                     further case of the appellants that the consumer complaint filed before the

                     District Consumer Forum, Erode was dismissed at the condone delay stage

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                                                                                      W.A.No.408 of 2024

                     and the respondents have not preferred any appeal against the rejection

                     order and filed the Writ Petition, which is not at all maintainable. Though

                     same was brought to the notice of the learned Single Judge, the reply was

                     not considered.



                                  3. Learned counsel for the respondents contended that the

                     rights of the respondents cannot be deprived on the erroneous calculation of

                     the age of the deceased Agent. The Group Insurance Scheme introduced by

                     the LIC is for betterment of its Agents. When the LIC prescribed a

                     mechanism for calculation of the age and the deceased Agent falls within its

                     ambit, the denial of benefits under the Group Insurance Scheme payable to

                     the deceased Agent is illegal. Therefore, learned Single Judge rightly held

                     that the respondents are eligible for the benefits payable to the deceased

                     Agent.



                                  4. Heard the learned counsel on either side and perused the

                     material documents available on record.

                                  5. The husband of the 1st petitioner worked as an LIC Agent


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                                                                                       W.A.No.408 of 2024

                     and died on 18.04.2023 on account of heart ailment. The premium for the

                     Group Insurance Scheme was duly deducted annually from the account of

                     the deceased Agent and last such deduction was on 01.09.2012 for the

                     period 2012 to 2013. After the demise, the wife of the deceased Agent

                     approached the LIC for settlement of the amount accrued in the Group

                     Insurance Scheme. The request for disbursement of the amount was

                     negatived by the appellants, stating that since the deceased Agent already

                     crossed the age of 65, the benefits cannot be granted to the respondents.



                                  6. Before the learned Single Judge, it was argued by the LIC

                     that after the death of the Agent, the 1st petitioner was appointed as an LIC

                     Agent in the place of her husband and the commission payable to her

                     deceased husband has been paid without delay. As such, the request for

                     disbursement of the amount accrued under the Group Insurance Scheme

                     cannot be acceded to, as the terms and conditions cannot be relaxed for each

                     and every individual.



                                  7. According to the respondents, as per the Scheme modified


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                                                                                           W.A.No.408 of 2024

                     from time to time, confirmed Agents, who fall between 18 years and 65

                     years would be granted the benefit of Group Insurance Scheme. The

                     deceased Agent was born on 12.08.1947 and he died on 18.04.2013. The

                     deceased Agent was the member of Group Insurance Policy till 12.08.2012

                     and therefore, his age upto 01.09.2012 has been calculated for reckoning the

                     entitlement age of the deceased Agent. If the age of the deceased Agent as

                     on 01.09.2012 is calculated based on the LIC Age calculator, it clearly

                     displays that the deceased Agent has completed 65 years 0 Month 20 days.

                     It further displays that the age should be rounded off to 65 for reckoning the

                     age for LIC plan for the reason that not even a month has been completed

                     after completing 65 years of age. When the age of a person runs between 0

                     month to 5 months, the age should be calculated as if the person has not

                     completed 65 years of age in terms of their own mechanism derived for

                     calculation of the age for LIC. Therefore, learned Single Judge rightly

                     directed the LIC to settle the benefits of the deceased Agent to the

                     respondents herein and we find no infirmity in the order of the learned

                     Single Judge.

                                                                                       J.NISHA BANU, J.

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ar

8. The LIC is a welfare organization and the appellants should be liberal in extending the benefits to its Policy Holders without standing on strict technicalities. When the family members of the deceased Agent of LIC are made to run from pillar to post to receive the legally entitled benefits under the Group Insurance Scheme, the Public will lose their confidence in the LIC and would be reluctant to opt for LIC policies.

9. For the foregoing discussions and observations, finding no infirmity or illegality in the order of the learned Single Judge, this Writ Appeal is dismissed. No costs.

                                                                               (J.N.B.J.,)      (M.J.R,J.,)
                                                                                        15.07.2025
                     Index: Yes / No
                     Internet: Yes / No
                     ar




                                                                                        W.A.No.408 of 2024




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