Banks are bound to inform its customers through personal notice before discontinuing any insurance policy provided as a cover for loans granted, the apex consumer commission has said.
The National Consumer Disputes Redressal Commission (NCDRC) has asked the State Bank of India (SBI) to adjust the 'personal accident policy benefits' on the loans taken by a man, who died during the policy period, after noting that the bank had failed to inform him about discontinuing the policy.
