Court awards Rs 61.5 lakh to mother after LIC rejected son's death claim 5 times
A decade-long legal dispute has concluded with a court ordering LIC to pay Rs 61.5 lakh to a mother whose son died in 2013. LIC had rejected five successive claims, citing the policyholder's alleged non-disclosure of a diabetes diagnosis. The court ruled in the mother's favour, finding that the son was unaware of his diabetic condition at the time the policy was purchased. The ruling establishes an important precedent that insurers cannot deny death claims on grounds of non-disclosure if the policyholder had no knowledge of the medical condition when taking out the policy.
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