Advocates:
Advocate Appeared:
For the Petitioner(s): Mr. Vikas Upadhyay, AOR
For the Respondent(s): Mr. Nitin S. Tambwekar, Adv. Mr. Seshatalpa Sai Bandaru, AOR

What is the date from which an insurance policy becomes effective for backdated policies under the Insurance Act and Consumer Protection Act? What is the correct relevant date to determine the 12-month suicide clause period in life insurance policies when reinstatement of a lapsed policy occurs? What is the proper interpretation of the terms "date of the policy" vs "date the risk under the policy has commenced" for determining liability and payout?

Key Points: - The date of issuance of the policy is not the effective date; the date of commencement, including reinstatement, is relevant for effectiveness. (!) (!) - The 12-month suicide exclusion period is measured from the date the risk commences (policy issue or reinstatement), not from the proposal or cheque issuance date. (!) (!) (!) - If reinstatement occurs, the reinstatement date is treated as the commencement date for the purposes of the suicide clause. (!) (!) - The policy is deemed effective from the date of issue of the policy or the date of reinstatement, whichever is relevant, rather than the proposal or receipt date. (!) (!) - The court reversed lower authorities and held that the insurer’s liability is determined by the policy’s commencement date, not merely the policy issue date. (!)

What is the date from which an insurance policy becomes effective for backdated policies under the Insurance Act and Consumer Protection Act?

What is the correct relevant date to determine the 12-month suicide clause period in life insurance policies when reinstatement of a lapsed policy occurs?

What is the proper interpretation of the terms "date of the policy" vs "date the risk under the policy has commenced" for determining liability and payout?