Other courts
Consumer Court Directs Insurance Company to Pay Claim to Policyholder
The Consumer Court has directed an insurance company to pay a claim of Rs 5 lakh to a policyholder who had filed a claim for medical expenses. The policyholder had alleged that the insurance company had wrongly rejected the claim, citing that the treatment was not covered under the policy. However, the Consumer Court, after examining the evidence, found that the insurance company had indeed covered the treatment under the policy. The court directed the insurance company to pay the claim to the policyholder, along with interest and compensation for mental agony. The order is significant as it highlights the Consumer Court's efforts to protect consumer rights. The direction to the insurance company is expected to have implications for several insurance companies that wrongly reject claims. The Consumer Court's decision is likely to be seen as a positive development for the policyholder, who has been fighting to get the claim settled for several months. The case is ongoing, and the insurance company is expected to challenge the order in a higher court. The Consumer Court's decision is subject to appeal before the State Consumer Commission or the National Consumer Commission, depending on the jurisdiction.
