Consumer forum orders insurance firm to pay compensation for rejecting businessman's claim

Thane, Oct 07: The Thane District Consumer Disputes Redressal Forum has asked an insurance firm to pay a Mumbai-based businessmen his claim of Rs 10 lakh as well as Rs 35,000 compensation for "deficiency of service".

The man had taken insurance of Rs 10 lakh for a structure in Mumbai's Ghatkopar area, which collapsed amid heavy rains in July 2011.

However, the insurance firm refused to process his claim saying the structure fell due to age, after which the man approached the TDCDRF.

Forum president VC Premchandani and Member Poonam Maharshi, in their order of last week, said the firm had erred and asked it to pay the insurance claim amount of Rs 10 lakh as well as Rs 35,000 for mental agony and costs.