AHMEDABAD - Gbic.co.in

There is no doubt that the policy was issued nos. 0089319311 and89304434 under Single Premium unit gain plan for Rs. 25000/- each.It is a known fact that proposal form are being filled in by the agents onlyand only signature are being obtained of the policy holder. The Q. No. 5,premium frequency column is also misguiding. It is also difficult toconvince that a person having income of only 130000/- per year can paypremium of Rs. 50000/- every year with liability of 03 family members,which proves that it is a mis-representation of facts for the personalinterest. At the underwriting stage the Respondent should take intoconsideration premium amount with annual income which is totallyignored in this case.The insurance is a contract of utmost good faith. Both the parties areexpected to reveal the facts only. Any mis-representation of facts oneither side vitiates the contract ab-initio.In view of the above for the sake of equity and justice the respondent isdirected to cancel the policy and refund full amount of premium i.e. Rs.50,000/- with interest @ 9% p.a. from the date of receipt to till the dateof payment within 15 days from the date of receipt of this order.Dated at BHOPAL, on 26 th of November 2009.