The District Consumer Disputes Redressal Forum, the State Consumer Disputes Redressal Commission and the National Commission have proceeded on the basis that the date of issuance of the initial SLP (Civil) On 16.07.2012, the Policy was issued and at all relevant places, it was mentioned in the policy that the date of commencement of the policy would be 16.07.2012.
Suicide: The Company will not pay any claim on death if the Life Assured, whether sane or insane, commits suicide within 12 months from the date of issue of this Policy or the date of any reinstatement of this Policy.”
From the documents on record in the case of Usha Soni, we find that the first cheque was issued on 26.09.2012.
Once it is mentioned in the Policy that the 12 months period is to commence from the date of the issuance of the policy or the date of any reinstatement of the policy, the reinstatement aspect ought to have been considered. Now, coming to the case of Jaya Wadhwani, the proposal form, no doubt, was submitted on 14.07.2012 with respect to the cheque dated 13.07.2012 of the premium amount wherein also it was mentioned that the receipt is issued subject to the clearance of the cheque and further that the insurance protection shall only be provided effective from the date of acceptance of the risk, which happened on 16.07.2012, when the policy was issued and the date of commencement was notified to be the same date.
The drawer of the cheque may, at any time, after issuing, stop its payment or there may not be enough funds in the account of which the cheque is issued and there could be many other reasons for which the cheque could be returned without being encashed.
Also Read: https://newslaw.in/supreme-court/extension-of-investigation-period-under-uapa-courts-legal-analysis/
Having examined the rival submissions and having examined the policy of insurance which is nothing but a contract between the parties and having considered the expressions used in Clause 4-B of the terms of the policy, we are persuaded to accept the submissions made by Mr. In the case in hand, undoubtedly the date on which the risk under the policy has commenced is 10.5.89 but the date of the policy is 31.03.1990 on which date the policy had been issued.
The death of the life assured having occurred as a result of suicide committed by the assured before the expiry of three years from the date of the policy, the terms contained in Clause 4-B of the policy would be attracted and, therefore, the liability of the Corporation would be limited to the sum equal to the total amount of premium paid under the SLP (Civil)
No 10954 of 2019 policy without interest and not the entire sum for which the life had been insured.
Also Read: https://newslaw.in/supreme-court/challenge-to-state-governments-directive-for-cadre-merger/
In the aforesaid premises, we are of the considered opinion that under Clause SLP (Civil)
Case Title: RELIANCE LIFE INSURANCE COMPANY LTD Vs. JAYA WADHWANI (2024 INSC 10)
Case Number: C.A. No.-000035-000035 / 2024
