Crop insurance firm pulled up for deficient service

Court orders compensation to farmer

Rame Gowda of Bidarahalli village in Mudigere taluk had obtained a policy from a crop insurance company for his 10-acre robusta coffee plant in 2007. Since he lost his crop due to excessive rains, he applied for compensation as per insurance conditions. The agency had sent him a cheque of Rs 24,000 in response to his application. However, the name of Rame Gowda’s father had been mentioned as Putte Gowda instead of Subbe Gowda.
Rame Gowda could not encash the cheque as his father’s names was wrongly mentioned. On the other hand, the term of the cheque had also barred. Rame Gowda brought these points to the notice of the insurance agency through an advocate. Later, he sought the help of the Consumers Court.

The court first confirmed that the agency’s cheque was out of date and it had mentioned the beneficiary’s father’s name wrongly. Now, the court has ordered that the crop insurance agency should pay Rs 24,000 apart from Rs 3,000 for the psychological pressure experienced by the client and Rs 1,000 for the court expense with 9 per cent interest from the date of the lawyer’s notice.

DH News Service

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