It's a common practice by insurance companies to change policy conditions at the time of policy renewal. Such changes, surreptitiously made without the knowledge or consent of the insured, are illegal and unjustified. The insured would have the right to insist that the claim be settled according to the terms and conditions in the original contract of the insurance when the policy was first taken.
Veermani Aiyar was covered under a mediclaim policy issued by New India Assurance. The policy was taken several years ago, and was renewed without any break. The sum insured was Rs 5 lakh, with a bonus of Rs 2 lakh, totalling Rs 7 lakh.
