Chandigarh, Oct 15 : Oriental Insurance has been asked by the consumer forum here to pay Rs. 6.77 lakh as compensation and Rs. 5,000 as litigation cost to Makhan Singh, a sector 45 resident, who had got his car insured by the company.

Singh said his Innova car was insured under a policy that was valid from March 21, 2008 to March 20 this year. The car was involved in an accident in October last year in Haryana's Thanesar town.

"I immediately informed the police and insurance company. Initially, they gave me verbal assurance of all my claims, but later refused to pay money," Singh said Thursday.

"Subsequently after bearing huge financial loss and mental harassment I approached the consumer forum early this year."

The insurance company's counsel said they had sent their officials to Singh's residence, but there was nobody at home that time.

However, the forum, after hearing all arguments, directed the insurance company to pay the compensation amount and litigation cost to Singh.(IANS)