Consumer Redressal Forum awards against insurance company
We all buy insurance for some basic peace of heart. In case of a situtation where something happens to us, or to our house or vehicle, there is the guarantee of money to make sure that the impact is alleviated. This is a proper business for the insurance company and they are not doing this out of any charity.
And yet the problems that people face when trying to get their claims from the insurance company ! People have to run around a lot to get the insurance company to accept their claim, especially in situations where there is some amount of dispute, or the situation is not crystal clear. It is at these times that consumer redressal forums provide a solution. Refer this case in Chandigarh:
A resident of Sector 56 in the city, who owns a three-wheeler had got it insured for a period of one year starting from May 6, 2005. He moved the Consumer Redressal Forum complaining that on December 25, 2005, an unidentified vehicle hit his auto.
However, the insurance company repudiated his claim saying that at the time of accident the driver of did not possess a valid and effective driving license.
Holding the insurance company grossly deficient in repudiating the genuine and valid claim of the complainant, the Consumer Redressal Forum directed the Oriental Insurance Company Limited to pay Rs 10,700 as cost of repairs of the damaged vehicle.
This has been the practise in the past. Insurance companies are notorious for using any excuse to deny claims, after all, all such claims denied are additional revenue for them. In such scenarios, it is good that more people have started using consumer redressal forums to their insured amount.