Holding the Life Insurance Corporation of India (LIC) responsible for not informing the employer of the insured as well as the insured regarding paying the due premium, the national consumer disputes redressal commission (NCDRC) directed LIC to pay Rs4.70 lakh with an interest of 9%pa (per annum) to the family of the deceased life assured (DLA).
Presiding Member Justice Sudip Ahluwalia emphasized that since as per the Supreme Court, an employer is an agent of the insurer, the interest of the life assured needs to be protected.