UNITED INDIA INSURANCE CO LTD Vs. PUSHPALAYA PRINTERS

JUDGEMENT

(1.) The respondent filed a complaint before the District Consumer Disputes Redressal Forum (District Forum) under Section 12 of the Consumer Protection Act, 1986 (for brevity the Act) praying for settlement of an insurance claim at Rs. 75,000/- along with interest at the rate of 18% per annum. The appellant repudiated the claim on the ground that damage caused to the building and printing press of the respondent was not covered by Clause 5 of the insurance policy. The District Forum accepting the contention urged on behalf of the appellant held that there was no deficiency of service on the part of the appellant and dismissed the complaint as not maintainable. The respondent filed appeal before the State Consumer Disputes Redressal Commission (State Commission) against the order of the District Forum. The State Commission, on interpretation of the word "impact" contained in Clause 5 of the insurance policy, allowed the appeal, set aside the order of the District Forum and granted relief to the respondent directing the appellant to pay a sum of Rs. 75,000/- with interest at the rate of 12% per annum with effect from 18-10-1994 till the date of payment. The appellant, dissatisfied with the order of the State Commission, filed revision petition before the National Consumer Disputes Redressal Commission (National Commission). The National Commission, while accepting the interpretation given by the State Commission, however, reduced the amount of payment to the respondent from Rs. 75,000/- to Rs. 56,000/-. Aggrieved by said order of the National Commission, this appeal is brought before this Court by the appellant.

(2.) Before us, learned counsel for the parties in their arguments reiterated their respective contentions, which were urged before all the forums. In order to consider the respective contentions urged on behalf of the parties, it is both necessary and useful to quote the relevant portions from the insurance policy :-

(3.) In the order of the District Forum it is noticed that the appellant contested the claim by filing written objection contending that the damage caused due to vibration from the operation of bulldozer was not an incident of impact by any road vehicle, as per Clause 5 of the insurance policy for risk, and so the complaint was not maintainable. Para 4 of the order of the District Forum reads :-