Appellant sought information relating to insurance policies of her late husband; printing on the policy was small & difficult to read - Respondent: date of commencement of risk is the date from which risk cover under a policy starts - CIC: Decision upheld
1. The appellant, Ms. Minal S. Patil, submitted RTI application dated 08.10.2013 before the Central Public Information Officer (CPIO), LIC of India, Mumbai and sought to know the date of policy and due date of premium relating to two policies No. 891380865 and 891380866 of her late husband.
2. The CPIO vide letter dated 18.10.2013 informed the appellant that these policies were issued with date of commencement 7.5.2003 as such the due date of premium was 7th May every year. On point no. 2 the CPIO informed the appellant that the information sought was not specific. The date of commencement under both the policies was 7.5.2003. Dissatisfied with the reply of the CPIO, the appellant preferred first appeal on 23.10.2013 before the FAA. The FAA vide order dated 11.11.2013 further clarified to the appellant that the date of commencement of risk means the date on which the proposal resulted into the policy i.e. date on which policy number was allotted to the completed proposal. It is the date from which risk cover under a policy starts. Whereas date of commencement may be any date on or before date of commencement of risk during the same financial years, which may be selected for convenience of premium payment. As regards, the policies in question, the date of commencement of risk was 31.5.2003 and date of commencement is 7.5.2003, the date on which proposal were registered. As no specific date of commencement was mentioned on the proposal form, proposals were completed to policies with date of commencement as same 7.5.2003
3. Aggrieved with the decision of the respondents, the appellant filed the present appeal before the Commission.
4. The matter was heard by the Commission. The appellant’s representative stated that in the said two policies the dates mentioned as (1) Proposal date 2.5.2003, (2) Commencement date 7.5.2003 and risk commencement date 31.5.2003 etc. for 15 year term policy and in clause 7 of terms and conditions mentioned as date of policy. As such the information on date of policy was required and the respondents did not provide the same. The respondents submitted that their letter dated 11.11.2013 clearly explained the meaning of ‘commencement of risk’ but the appellant was not satisfied. The appellant also stated that the printing on the policy was small and difficult to read. The respondents reiterated that date of commencement of risk means the date on which the proposal resulted into the policy i.e. date on which policy number was allotted to the completed proposal. It is the date from which risk cover under a policy starts. Whereas date of commencement may be any date on or before date of commencement of risk, during the same financial year, which may be selected for convenience of premium payment. As regards captioned policies 891380865/66 the date of commencement of risk is 31.5.2003 and date of commencement is 7.5.2013, the date on which proposals were registered. As no specific date of commencement was mentioned on the proposal form proposals were completed to policies with date of commencement as same 7.5.2003. The respondents further added that the policy shall be void if the life assured commits suicide (whether sane or insane at that time) at any time on or after the date on which the risk under the Policy has commenced but before the expiry of one year from the date of this policy and the Corporation will not entertain any claim by virtue of this policy except to the extent of a third party’s bonafide beneficial interest acquired in the policy for valuable consideration of which notice had been given in writing to the office to which premiums under the policy were paid last, at least one calendar month prior to death. The date of the policy in question as mentioned in the latter part of the clause refers to the date on which ‘the risk under the policy has commenced’ as mentioned in the earlier part of the clause. Consequently the date of policy is the same as the date of commencement of risk under the policies which was 31.5.2003, which had been informed to the appellant.
5. The Commission accepts the submissions of the respondents and observes that requisite information had been provided to the appellant by the respondents. The decision of the respondents is upheld. The appeal is disposed of.
Citation: Ms. Minal S. Patil v. LIC of India in Appeal: No. CIC/MP/A/2014/000487