Holding National Insurance Co Ltd (NICL) guilty of rendering deficient service,a consumer court has asked it to pay its vehicle insurance policy holder Rs one lakh as compensation and reimbursement of the cost of repairs of his vehicle.
Criticising the PSU for “arbitrarily” rejecting policy holder’s claim,the District Consumer Disputes Redressal Forum noted the company “has totally,misdirected itself in raising a controversy,just to defeat the claim without any good reason.”
“We hold it (NICL) guilty of deficiency in deciding the claim of complainant,which was arbitrarily repudiated,” said the forum presided by C K Chaturvedi.
The forum gave the order on the plea of one Bhim Sain Garg accusing the insurance firm of rendering deficient customer service by rejecting his claim of Rs 1.21 lakh for the repair of his Toyota Quallis car,which had met an accident in May 2007,when the insurance of the car was still valid.
The NICL on the other had alleged that Garg had violated policy conditions by claiming 20 percent no-claim bonus,that
the company had collected from him,since he had defaulted in payment of premium in the previous year’s policy.
The company alleged a cheque deposited by Garg,towards payment of his premium,was dishonoured and he cannot avail of the ‘no claim bonus’,which is why his claim was rejected.
The forum,however,pointed out that the company had not informed Garg about the return of cheque of earlier premium.
“Nevertheless,all this was in respect of policy of the previous year,which has nothing to do with the current policy,during which accident occurred,” the forum added,while directing the company to pay Rs 30,000 as compensation for the harassment and deficiency of service.