NATIONAL INSURANCE CO LTD Vs. RAJESH KUMAR GOEL

JUDGEMENT

(1.) The present revision petition has been filed by the National Insurance Co. Ltd. (herein after referred to as the 'Petitioner') against the order of the State Consumer Disputes Redressal Commission, Delhi (herein after referred to as the 'State Commission') in Appeal No. 357/07. Rajesh Kumar Goel who was the original complainant before the District Forum is the Respondent herein.

(2.) The case according to the Respondent is that as proprietor of M/.s. Swastik Road Carriers, he is engaged in the business of transportation and earns his livelihood by running trucks. In this connection he had taken an insurance policy with regard to a Truck bearing registration No.HR 46 B 2009 from the Petitioner/Insurance Company for a sum of Rs. 8,07,500 which was valid from 29.10.2003 to 28.10.2004. Unfortunately, the Truck met with an accident on 9.8.2004 by dashing against a Trailer which suddenly stopped causing extensive damage to the Truck. The Respondent duly informed the Petitioner about the accident and since the total loss to the vehicle was about Rs. 6 lakh, he also filed a claim. The Petitioner after inspection and survey assessed the loss at Rs. 3,60,027.95p and although the assessment was inadequate and did not take into account the entire loss sustained by the Respondent, the Petitioner did not even disburse this amount and after several visits informed the Respondent vide its letter dated 9.6.2005 that the claim of the Respondent had been repudiated because the licence of the driver at the time of the accident was fake. Respondent challenged this contention and stated that he had verified from the Licensing Authority, Hissar that the driving licence of the concerned driver had been renewed by that Authority. Respondent, therefore, issued a legal notice to the Petitioner and thereafter filed a complaint before the District Forum on grounds of deficiency in service and prayed that the Petitioner be directed to pay him a sum of Rs.3,60,027.95p being the claim assessed by the Surveyor, Rs. 1 lakh as compensation for harassment along with interest @ 18% per annum w.e.f. 9.8.2004 and Rs. 25,000 as cost of litigation.

(3.) Petitioner on the other hand admitted that the vehicle which met with an accident was insured by the Petitioner and also confirmed that as per the report of the Surveyor, damage to the vehicle was assessed at Rs. 3,60,027.95p. However, Petitioner contended that it was well within its rights to repudiate the claim because during the course of investigation it came to light that as per the records of the Licensing Authority, Una, no such driving licence was issued to the concerned driver and, therefore, the original licence of the Driver purported to be issued at Una and subsequently renewed from the Licensing Authority, Hisar was in fact fake. In view of this and as per the terms and conditions of the insurance policy, Petitioner was justified in repudiating the claim.