In Brief
An appellant obtained a life insurance policy for Rs 75,000 in 1993 and took a loan against it in 2001. After defaulting on premiums, he claimed the surrender value. The insurer offered Rs 2,268 after deducting the loan and interest, applying a 32.92% surrender value factor to both the paid-up premium value and accrued bonus. The District Forum awarded Rs 29,888, but the Supreme Court reversed, holding that the insurer correctly computed the surrender value according to Section 113 of the Insurance Act, 1938 and the approved actuarial formula. The appellant was not entitled to the full bonus amount but only its proportionate surrender value. Appeal dismissed.",
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