JUDGMENT

(Prayer: Writ Petition filed under Article 226 of the Constitution of India for issuance of Writ of Certiorarified Mandamus, calling for the records pertaining to the 2nd Respondent herein in his proceedings dated 24.06.2021 and quash the same and consequently direct the 1st and 2nd Respondents to disburse the assured claim amount arising from LIC policy No. 321878120 to the Petitioner and her son as legal heirs of deceased S.Arul.)

1. This Writ Petition has been filed challenging the impugned communication dated 24.06.2021 of the second respondent informing the petitioner that the insurance claim amount will be paid only in favour of the nominee and for a consequential direction to the first and second respondents to disburse the assured claim amount to the petitioner and her son, who are the legal heirs of the deceased S.Arul.

2. The case of the petitioner is that she got married to late S.Arul in the year 2016 and through this marriage, they had a son named Aswath. The husband of the petitioner was infected with Covid-19 and unfortunately, he died on 13.05.2021. The husband of the petitioner had subscribed a LIC policy with the second respondent for the sum assured at Rs.3,00,000/- (Rupees Three Lakhs only). After the demise of the husband, the petitioner made a claim for the sum assured. On receipt of the communication from the petitioner, the second respondent through impugned letter dated 24.06.2021 informed the petitioner that the deceased had nominated his brother, viz., the third respondent / S.Muthuvel Raj as the nominee and therefore, the claim will be paid only in favour of the nominee. Aggrieved by the same, the present Writ Petition has been filed before this Court. The first and second respondents have filed a counter affidavit. For proper appreciation, the relevant portions in the counter affidavit are extracted hereunder:

“4) I submit that as the policy is in force on the date of death of the assured Mr.S.Arul, Rs. 3,00,000/- + the bonus of Rs.2,02,500/- totally Rs. 5,02,500/- is payable under the policy if the claim is admitted after receipt of all requirements. Since the nominee has applied for the policy amount by producing the original policy and the claim papers, our Insurance Company was not considered the claim of the Writ petitioner and to that effect we have sent a letter dated 16.06.2021 to the writ petitioner by stating that "as a valid nominee exists under the given policy, we are in order to consider the claim in favour of the nominee only. This is for your kind information." In the meantime the 3rd Respondent has received back the original policy along with the other papers submitted for the claim from our Branch office as referred above.

5) I submit that since there are two claims for this policy amount i.c. one by the 3rd Respondent and the other by the writ petitioner as referred above, we are not in a position to take a decision in respect of the policy amount payable to whom. In any way we are ready to abide by the order of this Hon'ble Court in paying the policy amount with the Bonus to the person/persons as ordered by this Hon'ble Court, If the claim is in order and admitted on our side.”

3. Heard the learned counsel appearing for the petitioner as well as the learned counsel appearing for respondent Nos.1 and 2 and the learned counsel appearing for the third respondent.

4. The short issue that arises for consideration in this Writ Petition is as to whether the impugned communication of the second respondent requires the interference of this Court and this Court has to issue a consequential direction to the first and second respondents to pay the assured claim amount to the petitioner and her son.

5. There is no serious dispute on the facts of the case and therefore, the facts does not require any reiteration. The law as it stood before the coming into force of the Amendment Act, 2015, was that the nominee merely receives the assured sum from the Insura