Ernakulam District Commission – Internal dispute resolution mechanism under MEDISEP scheme does not prevent aggrieved persons from approaching the commission

MEDISEP is a welfare program of the Government of Kerala which provides comprehensive health insurance to all existing and newly recruited government employees, High Court employees, pensioners and their families.

Background facts

Oriental Insurance (plaintiff) argued that the complainant (respondent) had not exhausted the grievance redressal mechanism under the Medical Insurance Scheme for Government Employees and Pensioners (MEDISEP).

Thus, they argue that the complaint to the Commission is premature and should not be sustained.

Consequently, Oriental Insurance filed an interlocutory application with the Commission seeking dismissal of the complaint.

Observation of the commission

The commission addressed the case National Insurance Co. Ltd. Vs. Hindustan Safety Glassworks Ltd. where it was established that the existence of an internal complaint handling mechanism does not exclude the jurisdiction of the Consumer Rights Commission.

In addition, the remedies provided by the Consumer Protection Act are in addition to those available under other laws or agreements.

In addition, the Commission referred to Section 100 of the Consumer Protection Act, 2019, which provides that the provisions of the Act are in addition to, and not in derogation of, any other law for the time being in force.

The Commission ruled that the existence of an internal complaint handling mechanism under the MEDISEP scheme does not exclude the jurisdiction of the Consumer Rights Commission.

The Commission came to the conclusion that Eastern Insurance’s motion to dismiss the complaint on the grounds of unfitness for service is unfounded.

The case is Oriental Insurance Co. Ltd vs. CD Joy and others

Citation – IA No. 1146 of 2024. In Central Committee No. 505 of 2024.

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