Mohali, Jan. 6 -- A Mohali woman who was made to fight a four-year legal battle to claim her late husband's life insurance worth Rs.1.05 crore, after the insurer rejected the payout alleging pre-existing mental illness, has finally found closure.

The Punjab State Consumer Disputes Redressal Commission has ruled in her favour, holding that the insurer failed to substantiate its allegation of pre-existing depression and schizophrenia.

Observing that the burden of proof to establish material and fraudulent non-disclosure rests on the insurer, the commission has directed Max Life Insurance Company Ltd to release Rs.1.05 crore, along with interest, to the widow, along with Rs.25,000 as compensation for harassment and litigation expenses.

It...