Forum Holds TATA AIG Guilty of Deficiency in Service

The District Consumer Disputes Redressal Forum, New Delhi, allowed a complaint filed by Consumer Education and Research Society(CERS), Ahmedabad, Mrs. Hira Kartar Dalwani and Mrs. Milan Vohra against the General Manager and the Assistant Vice President(Claims), TATA AIG General Insurance Corporation Ltd.

It held the insurer guilty of deficiency in service and directed them to pay Rs.3,00,000/- as compensation to Hira and Milan and Rs.10,000/- towards cost within 30 days from the date of order.

Hira and her husband had taken a Travel Guard Policy of TATA AIG before going on a holiday trip to Europe. In Italy, Hira’s husband suffered a massive cardiac arrest and was rushed to hospital, where he died the same evening. Having no money with her, Hira left her husband’s body in the hospital and called up her daughter at Bangalore. The claim for the insurance amount was repudiated on the grounds that their insurance covered only repatriation of the mortal remains of the deceased and not the cost of cremation in Italy. As the hospital authorities were not willing to keep the dead body any more, the complainants had to bear all the expenditure.

In Italy, the complainants kept requesting the insurer to appoint their agent. After a long delay, the insurer appointed an agent who further appointed a sub-agent.

Back home, the complainants approached CERS and filed a complaint with the Forum. Responding to the notices issued to the two officials of the insurance company, they appeared and pleaded that the policy doesn’t cover the return ticket, accommodation cost and related expenses.

The Forum observed that it was strange that the insurer didn’t realise that the travellers’ cheques were in the name of the deceased policyholder, leaving the complainants with no money on hand and a dead body in the hospital which was not allowing the body to be kept there any more. Considering the plight of the two ladies abroad, the Forum commented, the case should have been taken up by the insurer on priority basis. The Forum held TATA AIG General Insurance Co. Ltd. guilty of deficiency in service.

Mr. K.K.Chopra presided over the Forum with Mr. R.K.Manchanda and Mrs Neeru Mittal as members.