Consumer protection act
PRAKASH SHARMA
(Querist) 15 September 2013
This query is : Resolved
A person bought an insurance policy but after some time he could not pay premium for 5 year, and then he want to continue his policy for that he paid all dues amount with a declaration good health but unfortunately he died. After his death his nominee filed a claim application but same was rejecting by Life Insurance Corporation on ground of mis- declaration and premium paid by him also not to pay by company. Is Act of company right or wrong?
V R SHROFF
(Expert) 15 September 2013
Check with the Policy Terms of Company.
contract is contract.
Advocate Bhartesh goyal
(Expert) 16 September 2013
Repudiation of claim by insurance co.is not proper and lawful.If cor.has accept delayed payment then cor.is legally estopped to raise such objection and repudiation on such ground is wrong.In regard to mis declaration,burden lies on cor to prove how deceased made mis declaration.
prabhakar singh
(Expert) 16 September 2013
If the policy was revived accepting the revival penalty and arrear premium along with declaration of health(and also medical checkup by LIC approved doctor might have been carried at cost of LIC)then LIC can not deny claim.
If policy was revived only accepting self declaration of health by the policy holder,then LIC needs to prove by cogent evidence that policy holder conceal a particular disease he was suffering with which caused his death and had it been known to LIC,it must not have revived the policy,at least on old terms.
Raj Kumar Makkad
(Expert) 16 September 2013
I do agree with the wise advice of Mr. Singh.
Rajendra K Goyal
(Expert) 16 September 2013
Agree with the advise of expert Prabhakar singh ji, nothing more to add.
