Law: Insurance Ordinance, 2000

Section: 79

Insurance Ordinance (XXXIX of 2000)--Ss. 79, 80 & 118---Suit by legal heir (nominee) of insurer for recovery of policy proceeds and liquidated damages---Commencement of insurance policy on 16-11-1991 and its discontinuation on 25-11-1997 for non-payment of premium---Revival of policy on 20-2-2001 on payment of arrears by insurer---Death of insurer due to ailment on 18-5-2003 i.e. after two years and three months from revival of policy---Denial of plaintiffs claim by Insurance Company for having concealed ailment of insurer at the time of purchasing and revival of policy---Plea of Company that as per medical certificate produced by plaintiff insurer was patient of hypertension, diabetes and mellitus---Validity---Law did not permit for an inquiry after signing of insurance contract and its approval by Company---Subsequent actions like deposit of insurance premium and revival of policy were continuation of such contract---Company could challenge such contract within two years of its commencement in terms of S.80 of Insurance Ordinance, 2000---Death of insurer was beyond period of two years even after revival of policy---Such ailment of insurer could not be called as exceptional reasons---Majority of people having such ailments by remaining more careful in their life time lived either for decades or longer than people not having such diseases---Concealment of such diseases could not be termed as done fraudulently ---Company at the time of insurance must have satisfied itself and should have got insurer medically checked up to its satisfaction---If Company succeeded in establishing that insurer was unwell at the time of revival, then cut-of time of two years during which same could be challenged had already expired---Such plea of company was repelled in circumstances. JUDGMENT KHAWAJA FAROOQ SAEED, J.---Through this R.F.A. the appellants have sought indulgence of this Court against the order, dated 3-11-2008 passed by Addl. District Judge in his capacity as Insurance Tribunal under Insurance Ordinance, 2000. 2. Brief facts of the case are that the mother of the respondent got herself insured through the appellant-company vide contract, dated 16-11-1991. The same…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492