Tata AIG denied ₹30 lakh death claim over alcohol consumption by insured; why the pensioner’s family won the case

The Insurance Regulatory and Development Authority (IRDA) has ruled in favor of the family of a deceased pensioner, awarding them ₹30 lakh in a life insurance claim that was initially denied by Tata AIG.

The case involved a clause in the policy that allowed the insurer to deny claims if the insured consumed alcohol. However, the IRDA found that Tata AIG had failed to provide sufficient evidence to prove that the insured, Govindasamy, had consumed alcohol.

The IRDA also noted that the insurer had not provided any medical evidence or witness statements to support their claim that Govindasamy had consumed alcohol.

The ruling sets an important precedent for life insurance policies and the burden of proof in such cases.