Insurance – Date date of issuance of policy would be relevant date for all the purposes and not the date of proposal or the date of issuance of the receipt.

Insurance Policy – Whether it is effective from its issuance date or date of commencement mentioned in the policy or issuance of deposit receipt or cover note.

In the appeal of Jaya Wadhwani, the details are as follows –

On 14.7.2021, the quotation of Policy was issued and the proposal form was submitted by the life assured.

On 14.7.2012, the receipt for the cheque dated 13.7.2012 was issued.

On 15.7.2012, the life assured committed suicide.

On 16.7.2012, the policy was issued showing the commencement of date of policy as 16.7.2012.

In the appeal of Usha  Soni, the details are –

On 26.9.2012, the proposal form was submitted by the life insured.

On 28.9.2012, the policy was issued and same was the date of its commencement.

On 28.9.2013, the next premium was not paid and the policy had lapsed.

On 25.2.2014, next premium was paid and the lapsed policy was reinstated from that date.

On 3.6.2014, the life assured committed suicide.

HELD that the date of issuance of policy would be relevant date for all the purposes and not the date of proposal or the date of issuance of the receipt.  Accordingly, the appeals were allowed.

Judgment dated 3.1.2024 in Civil Appeals of Reliance Life Insurance Company Ltd Vs. Jaya Wadhwani with connected matter.