Insurance company directed to refund Rs 1.50 lakh to customer

District Consumer Redressal Forum has ordered a private insurance company to refund Rs 1,50,000 to a complainant with 9 per cent interest for indulging in unfair trade practices.
The Forum also directed HDFC bank's Mandi Gobindgarh branch manager to pay Rs 10,000 to the complainant.
Complainant Jagidsh Singh, a resident of Bakshiwala (Rajpura) village had approached the HDFC bank manager for opening a FDR of Rs 1.50 lakh in the month of August 2010.
Singh alleged that bank officials used his money for issuing him HDFC life insurance policy instead of opening the FDR.
While contesting the matter, HDFC Standard Life Insurance said Jagdish Singh was unable to pay the premiums, asked for cancellation of policies, had also not availed the free-look period and hence, was not entitled to refund.

The Forum ordered the life insurance company to refund Rs 1,50,000 to the complainant with 9 per cent interest from August 18, 2010 till its realisation.