Insurance firm to pay up for not issuing policy on time

A resident of Sector 11, Panchkula, Wing Commander (Retd) RC Bedi moved the consumer forum alleging that he and his family suffered mental harassment after Bajaj Allianz Life Insurance Company Limited failed to issue policies to them. He had made the payment against a cheque of Rs 7.5 lakh for three proposal forms of life insurance, treatment and hospitalisation exigencies. After waiting for days on end without any response, Bedi finally decided to cancel the proposals.

The UT consumer forum directed the insurance company to pay Rs 30,000 as compensation along with Rs 5,500 as costs of litigation. The firm had refunded Bedi’s amount with interest earlier.