Decided on August 07,2020

CITIBANK N.A. Appellant
Deepanshu Kumar Respondents


JUSTICE V.K.JAIN, J. - (1.) Late Sh. Pradeep Kumar, father of the complainants, took a credit card from the petitioner Bank. The said credit card carried a personal accident insurance cover which was payable in case of his death/total disablement on account of an accident. The insurance coverage was for Rs. 25 lacs, in case death was to be caused by a four-wheeler, whereas the coverage was to the extent of Rs.18.75 lacs if the accident was to be caused by a two-wheeler. The deceased met with an accident on 09.09.2006 while driving a motor-cycle. A claim was lodged by the complainants for payment of the sum insured under the accident cover provided to him by the petitioner Bank. The claim was repudiated by the Bank solely on the ground that the insurance coverage was to become effective on 01.12.2004 but the deceased made a telephone call on 24.11.2004 for cancelling the insurance coverage and accordingly the said coverage was cancelled by the Bank. Being aggrieved, the complainants approached the concerned District Forum by way of a consumer complaint.
(2.) The petitioner Bank did not appear before the District Forum and was proceeded ex-parte on 19.09.2018. The District Forum directed the petitioner Bank to pay a sum of Rs.18,75,000/- to the complainants along-with compensation quantified at Rs.1,00,000/- and the litigation costs quantified at Rs.5,000/-.
(3.) Being aggrieved, from the order passed by the District Forum, the petitioner approached the concerned State Commission by way of an appeal. The said appeal having been dismissed by the impugned order dated 24.07.2015 the petitioner is before this Commission.;

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