ORIENTAL INSURANCE CO LTD Vs. AVANI PALOD

JUDGEMENT

(1.) BOTH these appeals are directed against the order dated 22.1.2010 of the District Forum Vidisha in complaint case No. 68/2008 whereby the District Forum has awarded a sum of Rs.1,40,000 plus Rs.10,000 as compensation and on failure to pay this amount within one month from the date of the order to pay 9% interest.

(2.) THE facts lie in a narrow compass. It is not disputed that truck bearing registration No. M.P. 09 KC 6933 was insured on payment of premium Rs.13,743. It is alleged that the truck while proceeding towards Ganjbasoda caught fire and was burnt with the goods kept in the truck. On surveyor being appointed, he gave the report and assessed the loss in the sum of Rs. 2,45,690 on repair basis. But because the value of the truck was Rs.5,00,000 and the loss occasioned was 49%, therefore, the surveyor assessed the loss on cash loss on repair basis in the sum of Rs. 1,39,998 i.e. Rs.1,40,000 for which the complainant also agreed. Therefore, the election of the second alternative i.e. Rs.1,40,000 towards repairs of the truck was finalized but, the Insurance Company repudiated its liability on the ground that the truck was carrying hazardous goods for which no endorsement had been obtained from the RTO. It is on this ground that the Insurance Company has also filed an appeal No. 536/2010 for setting aside the order passed by the District Forum.

(3.) WE have heard the learned counsel for the parties and perused the record.