‘Medisep system cannot override jurisdiction of consumer panel’

The Commission rejected a plea by an insurance firm to dismiss a complaint over a denied Medisep claim, asserting its jurisdiction and upholding consumer rights under the Consumer Protection Act

The Ernakulam District Consumer Disputes Redressal Commission has ruled that the existence of an internal grievance redressal mechanism under the Medical Insurance Scheme for State Employees and Pensioners (Medisep) of the State government does not override the jurisdiction of the Commission in complaints related to the scheme.

The Commission, comprising President D.B. Binu and members V. Ramachandran and Sreevidhia T.N., issued the verdict recently, while dismissing an interlocutory application filed by the first opposite party, Oriental Insurance Company Limited. The application sought the dismissal of a complaint by one C.D. Joy regarding the denial of a claim under the scheme on the grounds of non-maintainability. The opposite party argued that the petitioner had not exhausted the grievance redressal mechanism provided under the Medisep scheme, and therefore, the complaint before the Commission was premature and non-maintainable.

However, the Commission observed that the remedies available under the Consumer Protection Act were in addition to those available under other laws or agreements. The complainant had approached the Commission alleging deficiency in service by the opposite party, which fell squarely within the ambit of the Consumer Protection Act, 2019, the Commission said.

“In the present case, while the Medisep agreement provides an alternative grievance redressal mechanism, it does not exclude the jurisdiction of the Consumer Commission. The complainant, as a consumer, had the right to approach this Commission under the (Consumer Protection) Act, 2019, to seek redressal for any deficiency in services,” it added.

The Commission also cited that the Supreme Court in the State of Karnataka vs. Vishwabharathi House Building Cooperative Society had observed that the remedies under the Consumer Protection Act were supplemental and not exclusive, and that parties could simultaneously seek remedies under other laws.

The aggrieved consumer’s petition will be taken up for further hearing on January 20.

Published - November 14, 2024 09:19 pm IST