NEW INDIA ASSURANCE COMPANY LIMITED Vs. PRITAM GUMBER

JUDGEMENT

(1.) THIS is an appeal under Section 15 of the Consumer Protection Act, 1986 against the order dated 19.12.2005 passed by the District Forum, Uttarkashi, allowing consumer complaint No.36 of 2005 and directing the opposite party -appellant to pay to the complainant sum of Rs.1,67,282 together with interest @ 6% p.a. w.e.f. 15.10.2003, the date of the accident till the date of payment; damages of Rs. 3,000 and litigation expenses of Rs. 1,000.

(2.) IN brief the facts of the case are that the complainant is the owner of vehicle No. UP10 4512 (Mahindra Trax). The said vehicle was insured with the opposite party for sum of Rs.2,81,400 for the period from 11.1.2003 to 10.1.2004. During the currency of the insurance policy, the vehicle met with an accident on 15.10.2003 due to some technical fault in the vehicle and fell into a deep gorge and got badly damaged. The intimation of the accident was given to the Insurance Company and an FIR was also lodged. On 21.10.2003, the subject vehicle was inspected by Sh. Balveer Singh Rana, H.C.M.T., Police Line, New Tehri. The Insurance Company deputed its Surveyor. The Surveyor inspected the vehicle in the absence of the complainant. The complainant asked the Insurance Company for indemnification of the loss and completed all the formalities. On the oral directions of the Insurance Company, the complainant got the subject vehicle toed from the site of the accident and got the vehicle repaired on his own expenses and spent a sum of Rs. 1,67,282 in the repairs of the vehicle and the bills/cash memos/vouchers were submitted to the Insurance Company for settlement of the claim. The Insurance Company vide their letter dated 8.9.2004 treated the claim of the complainant as "NO CLAIM" without any sufficient ground or reason. Thereafter, alleging deficiency in service on the part of the Insurance Company, the complainant filed the consumer complaint before the District Forum.

(3.) THE Insurance Company filed written statement and pleaded that the complainant did not complete the required formalities and the claim of the complainant has been repudiated on valid ground It was also pleaded that the Surveyor has assessed the loss to the tune of Rs. 35,839. The complainant has committed breach of the terms and conditions of the policy of insurance. On the date of the accident, the vehicle was carrying goods in excess of the permitted load. The place where the accident took place was not approved. It was also submitted that passengers were being carried in the vehicle and, as such, the vehicle was being used in contravention of the terms and conditions of the policy of insurance. No deficiency in service has been made by the Insurance Company.