Date of Filing : 26.05.2022 Date of Disposal : 21.05.2024 BEFORE THE KARNATAKA STATE CONSUMER DISPUTES REDRESSAL COMMISSION, BENGALURU (PRINCIPAL BENCH)

DATED THIS THE 21st DAY OF MAY 2024 PRESENT Mr. K.B.SANGANNANAVAR : JUDICIAL MEMBER Mrs M.DIVYASHREE : LADY MEMBER CC-NO.95/2022

1. Shubha Mahadeva.H Aged about 40 Years, W/o late Mahadeva.H

2. Miss.Sirigowri.H.M., Aged about 18 Years, D/of late Mahadeva.H

3. Baby.Akshatha.H.M Aged about 14 Years, D/o late Mahadeva.H Since Minor Rep. by Guardian Mother Shubha Mahadeva.H.

All are R/at No.150, 4th Cross, 4th Main, Shrinivasanagara, BSK 2nd Stage, Bengaluru-50. . ..Complainant/s (By Adv.Sri.Rajagopala Naidu)

VS

1. Th

1.

e ICICI Prudential Life Insurance Registered Office at:Unit No.1A & 2A, Raheja Tipno Plaza, Rani Sati Marg, Malad East, Mumbai-400097, Rep. by its Associate Vice President (OP.1 By Adv.Sri.I.Gopalakrishna)

2. The Branch Manager, The ICICI Bank ltd., Bommanahalli Branch, Bengaluru-01. ... Opposite party/s (OP.2 - Exparte)

ORDER

BY Mr.K.B.SANGANNANAVAR : Pri.Dist & Session Judge (R) - JUDICIAL MEMBER.

1. This is a complaint filed by the Complainants.1 to 3 to direct OP.1 to pay the assured amount of Rs.1,56,32,843/- under the ICICI Prudential Life Insurance Policy as the death benefits of the deceased Mr.Mahadeva.H along with interest at 24% p.a. from 20.05.2021 and to pass preventive order against OP.2 in anyway claiming the EMIs from the claimants in respect of mortgage loan borrowed on property bearing no.150, 4th main, 4th cross, Banashankari 1^st stage, Bengaluru-85 until the claim of the claimants is settled and to grant any other reliefs the Commission may deem fit in the circumstances of the case.

2. The brief facts of the case of the complainants is stated as below:

One Mr.Mahadeva.H husband of Complainant.1 and father of Complainants.2 & 3 during his life time had availed a „Purchase and Construction loan‟ from PNB Housing by depositing the title deeds and thereafter the said loan was taken over by OP.2. OP.2 sanctioned loan of Rs.1,03,00,000/-. There are two loans with OP.2, they are loan bearing no.LBBNG00005168562 for Rs.1,03,00,000/- and another loan bearing no.LBBNG00005249960 for Rs.8,73,669/-. After sanction of loan, OP.2 intimated Mr.Mahadeva.H as to obtain insurance policy from OP.1 is must. Accordingly Mr.Mahadeva.H has paid Rs.4,14,221/- towards premium and obtained ICICI Pru Policy no.68681677 in his name on 29.02.2020. In the said policy, OP.1/insurer assured the policy holder to pay Rs.1,56,32,843/- to the nominee or to his legal class-1 heirs in case of the death of policy holder. The Complainant.1 has been shown as nominee in the said policy, Complainants.2 & 3 are his legal class-1 heirs. Mr.Mahadeva.H, the policy holder was affected to covid-19 positive during 2^nd wave. He was hospitalised on 01.05.2021 and succumbed to the variant on 20.05.2021. After the death of the policy holder, Complainant.1 on 01.06.2021 has put forth her claim with OP.1 to claim the death benefits and OP.1 had requested her to furnish certain particulars, six months after her request made on 01.06.2021. She has furnished all the particulars as requested and the OP.1 has repudiated her claim vide letter dtd.27.03.2022. She has made representation to IRDAI on 12.05.2022 as suggested by OP.1. On the contrary OP.2 is threatening to attach and sale of property to deny the legitimate claim of the Complainants. In such circumstances, with no other alternative, approached the Consumer Commission and sought direction against OP.1 to settle the insurance claim.

3. OP.1 put his appearance through learned counsels and filed version, while OP.2 is placed exparte. OP.1 submits, contract of insurance is contract based on underlining principle of „uberrimaefidei‟ i.e. „utmost good faith.‟ OP.1 had received a request from the Master Policy Holder (MPH) to issue a policy in the name of Mr.Mahadeva.H (DLA) and a duly filled consent from the DLA and based on the details received from the MPH and th