President Alvi orders United Insurance Company to pay Rs 4.5 mln insurance claim with 8 years’ profit
ISLAMABAD ( Web News )
President Dr. Arif Alvi on Thursday ordered the United Insurance Company (UIC) to pay Rs 4.5 million insurance claim to the customer along with eight years’ profit.
The president, while rejecting the appeal of the United Insurance Company of Pakistan Limited against the decision of the Federal Insurance Ombudsman, observed that the company had kept the matter pending for eight years and made profit on its customer’s money.
According to a news release of the President House Press Wing, Imtiaz Ahmed, a resident of Karachi, had got insured his car for Rs 4.5 million. When the car was stolen, he approached the UIC with the insurance claim of Rs 4.5 million. However, the company refused to honour his claim on the pretext that Imtiaz Ahmed had overstated the price of the vehicle.
On his petition, the Federal Insurance Ombudsman gave his verdict in favour of Imtiaz Ahmed. The UIC filed an appeal against the ombudsman’s decision before the president, which the latter rejected and ordered the company to pay the insurance claim along with profit for eight years as it had collected the premium from the customer on the insured amount of Rs 4.5 million.