Dharwad
The District Consumer Grievances Redressal Commission has directed Chola Mandal Insurance Company to deposit Rs 15 lakh in a bank until the Court delivers its verdict on the legitimate claimant. Basavaraj Shankarappa Savadi, a resident of Hal Kusugal in Navalgund taluk of the district was the owner-cum-driver of a goods carrier and had purchased a general insurance policy of Rs 15 lakh from the said company.
The insurance covered accident benefits. On March 21, 2021, Basavaraj met with an accident and died. On behalf of his minor son Siddappa, his mother Prasuti approached Insurance company seeking to settle the claim.
In the meantime, another woman Malashri claiming to be the wife of Basavaraj and his unmarried sister Basavva Savadi approached the company, saying they were the legitimate claimants. With several persons staking their claims for the insurance amount, the Chola Mandal Insurance Company refused to settle the claim till the legitimacy of the claimant was decided. Meanwhile, Basavva and Malashri had filed separate petitions in the Courts in Dharwad and Belagavi, respectively, seeking to be declared as one of the claimants.
On her part, Prasuti approached the District Consumer Grievances Redressal Commission against the Insurance company saying there was a lapse in providing service by the company. Admitting the petition and hearing the parties, the Commission observed that it is the responsibility of the Insurance company to credit the money into the account of the legitimate claimants and since there is a dispute over the legitimacy of the claimants and the matter is in the Court, the Insurance company should deposit the claim amount of Rs 15 lakh in a Nationalised Bank and the same can be paid to the legitimate claimant after the Court decides on it.
