Consumer Commission Orders LIC to Pay Rs 5 Lakh After Wrongful Claim Denial
A consumer commission has directed LIC to pay Rs 5 lakh in insurance money to a family after the insurer wrongfully denied their claim following the death of their son. LIC had repudiated the claim, prompting the family to approach the consumer forum for relief. The commission referenced a National Consumer Disputes Redressal Commission ruling on 'silent diseases', noting that individuals may be unaware of a medical condition until symptoms become evident. It also cited a Punjab and Haryana High Court judgment related to unjust repudiation of insurance claims. The commission ordered the payout along with applicable interest, ruling in favour of the claimants.
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