New Delhi, Aug. 15 -- A Rs.1 crore life insurance claim took a legal turn after Tata AIA rejected a widow's claim, alleging that the policyholder withheld some information in the declaration form. The dispute eventually reached the Telangana State Consumer Commission, which examined whether the insurer had enough evidence to justify denying the death benefit.

Telangana State Consumer Disputes Redressal Commission recently heard a case involving a Rs.1-crore Tata AIA Life Insurance policy taken by a retired Central Excise officer. The officer died during the COVID-19 pandemic, only two years after taking a Rs.1 crore cover.

But when his wife, the nominee, filed a claim, the insurer rejected it, alleging that the policyholder had failed t...