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Consumer forum asks Pan Card Club to pay for death; absolves New India Insurance Co

Jul 23 2012, 15:51 IST
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SummaryThe forum also absolved the New India Insurance Company of all the charges levelled against it.

The Thane District Consumer Redressal Forum has faulted the Pan Card Club for being deficient in its services and ordered it to pay compensation of Rs 50,000 to the widow of a rickshaw driver who died of heart attack.

The forum President R B Somani and Member Jyoti Iyer held that the club had failed to explain the provisions of the membership and personal accident insurance details to the rickshaw driver who took the club membership.

The forum absolved the New India Insurance Company of all the charges levelled against it and held that it was not liable to pay the compensation to the applicant widow as the policy premium was not received by it.

The applicant widow Shalan Kshirsagar had stated that her husband died of heart attack on April 24, 2008 and since he had taken the membership of the Pan Card Club by paying a sum of Rs 1000 and through which he also got an insurance policy for Rs 50,000, she lodged the claim on his death which was refused by the club.

The dispute arose over the date on which the policy came into effect.

The Club argued that the policy was effective from May 18, 2008 while the person concerned died on April 24, 2008.

The forum held that the policy was effective from the date of issue and ordered compensation of Rs 50,000 to the widow towards the policy and additional payment of Rs 10,000 towards her physical and mental sufferings.

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