NEW INDIA ASSURANCE COMPANY LTD Vs. PUSHPA

JUDGEMENT

(1.) Instant appeal has been preferred against the impugned order dated 18.08.2012, whereby ld. Tribunal has granted compensation of Rs.4,30,500/- (less interim award) with interest @ 9% from the date of filing of the petition till realization.

(2.) Ld. Counsel appearing on behalf of the appellant has argued as a sole issue that on the date of accident, i.e., 31.07.2010, no policy was issued in favour of the insured. He submits that in the absence of the policy, the appellant is not liable to pay the compensation amount as directed by the ld. Tribunal.

(3.) Ld. Counsel for the appellant has relied upon a case of Life Insurance Corporation of India v. Raja Vasireddy Komallavalli Kamba & Ors., 1984 AIR(SC) 1014, wherein it is held as under: "Though in certain human relationship silence to a proposal might convey acceptance but in the case of insurance proposal, silence does not denote consent and no binding contract arises until the person to whom an offer is made says or does something to signify his acceptance. Mere delay in giving an answer cannot be construed as an acceptance, as, prima facie, acceptance must be communicated to the offer or The general rule is that the contract of insurance will be concluded only when the party to whom an offer has been made accepts it unconditionally and communicates his acceptance to the person making the offer.