• Insurance claiming for CC loan in case of death

Sir, I'am Suriti Hariteja ,age 24, My mother (Suriti Sarala) took a CC loan for running a petrol bunk business of Rs.15,00,000/-(Fifteen lakhs loan) from State Bank of Hyderabad in 2014 by mortgaging the property of petrol bunk land which is 1350 sq. yds and worth of Rs. 50 lakhs.
                                                                        
The whole CC loan agreement is in between the names of my mother (Suriti Sarala) and SBH.So my mother (Suriti Sarala) paid an interest of Rs. 10000 regularly till 11.12.2014.
 Unfortunatly my mother(Suriti Sarala) EXPIRED on 11.12.2014. 
Due to disputes between me and my sisters husband(Kishor) , he registered a false criminal case 302 IPC on me (Suriti Hariteja) stating that my mother comitted suicide because of me. His (Kishor) intention was to grab the entire property after sending me behind the bars.                             

However case was aqquital and dismissed in the court.

Now the problem is , SBH sent me the notice stating that I have to clear and pay the loan amount as  I am the legal heir within 1 week . But i refused to take the notice.             
 
I asked bank manager to claim the insurance on the CC loan and clear off the loan and Requsted him to release the mortgage.
He replied me by saying that no insurance was made for this loan. I argued with him that there would be an insurance even for a small loan. And how come there was no insurance made for this 15 lakhs loan. After hearing me the bank manager replies that there would be no insurance made for a suicide case. I argued with him that it was not proved as a suicide nor a murder, how could he come to a conclusion that it was a suicide? Again the bank manager replied that the insurance was made but it was made on the petrol and diesel stock. (After my mother's death from 11th december 2014 to 1st april 2015 I was in remand in the above 302 case. In the meantime, all the stock in the petrol bunk was sold by my sister's husband illegally and he also managed to take permission to run  the petrol bunk business from the Indian Oil Corporation Ltd(IOCL). They granted permision for my sister for 4 months as she is the other legal heir of my mother. They took all the money in the bunk by selling off all the stock and ran away by closing the bunk). 
I asked the manager to lodge an FIR against my sister and sister's husband as the insurance of Rs. 15 lakhs CC loan is on stock and recover the loan, as I had an evidence that after my mother's death the permission for running the bunk for the next four months was granted to my sister. (The permission grant letter was sent to me by the IOCL when I asked for it).      
Now after listening all this, the bank manager says that insurance is not on stock but it is actually on the property of the bunk land which is mortgaged and said that insurance would be cliamed only if the land gets damaged. So now there will be no insurance covered as the land is not damaged. 
He sent me the notice for the payment of the loan but I refused to take it. Now I paid a loan of Rs.13 lakhs as the interest was becoming higher and due to the torture for the payment by the bank manager daily. Still there is apprx. Rs. 2 lakhs loan to be paid. 

Questions:  
1) Can I claim an insurance for a total amount of Rs. 15 lakhs?  
2) If yes, is there any chance to get the paid amount back of Rs. 13 lakhs?
3) I also got a claimed insurance of Rs. 5 Lakhs from SBI towards my mother's car loan and the loan was cleard by this insurance amount and has been closed.
4) I also got an insurance of Rs. 140000 including bonus for Rs. 1lakh policy of my mother
5)I also got an insurance of Rs.one lakh for life insurance policy from the postal department which is in the name of my mother.
6)How can the issue be solved?
               
Please help me in this regard.
Asked 21 days ago in Business Law from MARIKAL, Telangana
It is necessary to peruse insurance policy taken on cc loan to advise 

2) apply to bank and obtain copy of insurance policy 

3) if insurance policy covers the loan amount you can claim from insurance company 

4) after obtaining copy of insurance policy contact a local lawyer 
Ajay Sethi
Advocate, Mumbai
23334 Answers
1220 Consultations
5.0 on 5.0
1. if there was no insurance at the very inception of opening the loan account you can not claim the same. it is not clear from your query whether there was indeed an insurance on the loan at the very beginning.
2.Very unlikely.
3. It has no connection with the present dispute.
4. same as above.
5.same as above
6. If you have lost control of the petrol pump and its assets then better forget this loan and let the bank attach the petrol pump land to enforce its loan amount.
Devajyoti Barman
Advocate, Kolkata
5239 Answers
54 Consultations
4.9 on 5.0
1) file RTI application and obtain copy of insurance policy taken on the loan

2) you can also complain to RBI against the refusal of bank to furnish insurance policy taken on the loan 

3) complain to banking ombudsman against bank refusal to furnish the insurance policy 
Ajay Sethi
Advocate, Mumbai
23334 Answers
1220 Consultations
5.0 on 5.0
1) Can I claim an insurance for a total amount of Rs. 15 lakhs?  

If there was no insurance on the borrower then there cannot be any claim maintainable. 




2) If yes, is there any chance to get the paid amount back of Rs. 13 lakhs?

First infirm if there is any insurance and if yes, on whose name and what is the insurance claim?



3) I also got a claimed insurance of Rs. 5 Lakhs from SBI towards my mother's car loan and the loan was cleard by this insurance amount and has been closed.
4) I also got an insurance of Rs. 140000 including bonus for Rs. 1lakh policy of my mother
5)I also got an insurance of Rs.one lakh for life insurance policy from the postal department which is in the name of my mother.
6)How can the issue be solved?

First ascertain if she has any insurance made for the purpose loan to petroleum company and what documents she has submitted for this purpose. 
If there is an insurance you can file a claim petition.
T Kalaiselvan
Advocate, Vellore
14138 Answers
127 Consultations
5.0 on 5.0
He is disclosing about the insurance.I asked him so many times to check the insurance policy and its terms and conditions but he is trying to hide it and not letting me know.I also written so many letters to manager asking to give me the insurance details but he will not give any reply for that.
What should I do for getting the Insurance details and the terms and conditions of it? 

You can give an official communication to the bank seeking the details of insurance with a copy endorsed to the higher office of the bank and if there is no reply then you may seek the help of ombudsman agaisnt the hostile attitude maintained by the bank manager. 




CAN I file an RTI regarding the insurance made on this loan ?
If RTI doesn't work , then how can I find and know the details of Insurance on the loan taken? (As Manager is trying to disclose the insurance details).More over he is blackmailing me that he will send the notuce to IOCL  stating that land has been mortgaged and is NP. So cancell the dealership and vacte the place , we will sell the land in auction.( This is the reason why I paid rs.13 lakhs, as I have the only source of earning on the business of petrol bunk.

You should not budge to such pressures.
You could have challenged his notice or at least asked the IOL authorities to keep away from such court litigation matters. 
T Kalaiselvan
Advocate, Vellore
14138 Answers
127 Consultations
5.0 on 5.0

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