Denied benefit from LIC, family gets consumer forum reprieve
HYDERABAD: A district consumer forum has directed Life Insurance Corporation of India to pay claim amount of 6 lakh and compensation of 50, 000 to a widow of a man who died of electrocution. The woman had been denied accidental benefit claim without a valid reason. The insurance firm processed the claim as a ‘natural death’ saying that the family of deceased had failed to provide FIR and post-mortem report along with the claim papers.
The forum made it clear that it was not compulsory to file a FIR or a post-mortem report to claim compensation in a case of an accident sustained at home. “The circumstances leading up to accidents vary from case to case and in the case of the accident sustained at home, such as the insured herein, it is not necessary to file a FIR or to conduct post-mortem as there was no suspicious condition leading to the death of the insured. We find that the contention of the opposite parties is unsustainable as the fact of the death of the insured is not in dispute. Merely because the complainant did not file the FIR, the opposite parties cannot deny their liability on the accidental death,” said the forum and directed the LIC to pay claim amount and compensation.
The return on any LIC policy or any insurance policy is pathetically miniscule and then the hassles of proving some one is dead. Better save in a govt bank as returns and liquidity are better.
The complainant C Yadamma’s husband Mohan Reddy got four insurance policies issued by LIC for a total assured sum of 6.5 lakh. The insured passed away on May 9, 2014 after being electrocuted and was declared brought dead by the local hospital.
Subsequently, Yadamma filed claim papers along with relevant documents, but to her surprise, she was paid natural death benefit claims instead of accidental death benefit claims on the ground that there was no FIR or post-mortem report filed. Her repeated pleas to clear accidental benefits went answered. Vexed with the insurance firm, she filed the complaint.