UNITED INDIA INSURANCE CO. LTD Vs. RAVI GURUNG

JUDGEMENT

(1.) Both the Fora below have decided this case against the petitioner - United India Insurance Co. Ltd. Aggrieved by that order, the petitioner has filed the present revision petition. The facts germane to the instant case are these. On 27th September, 2004, an insurance policy was issued for a period of one year in respect of vehicle No.SK 04-6895 belonging to respondent, Shri Ravi Gurung. Although, no plea was raised before the District Forum, yet, before this Commission it was averred that the insurer transferred the ownership of the vehicle to Mr.Mohammad Suleman by executing a document evidencing a gift on 28th July, 2004. The vehicle in question met with an accident on 8th August, 2005. Mr. Hardev Singh gave his final survey report assessing the payable loss at Rs. 2,08,310. Shri Ravi Gurung intimated that the accident took place with his vehicle on 11.8.2005. The complainant approached the petitioner time and again but the Insurance Company denied entertaining this claim on flimsy grounds. He also wrote a number of letters, the last of which was on 1st June, 2009, but those letters did not invoke response from the opposite party. Ultimately, legal notice dated 27th March, 2009 was issued.

(2.) District Forum vide its order dated 30th April, 2011 awarded compensation in the sum of Rs. 4,10,428 to the complainant because the vehicle in question was insured with the petitioner for a sum of the above said amount. The complainant was awarded interest @ 10% p.a. from the date of filing of the claim i.e. on 16.9.2009 till final payment. The District Forum also awarded compensation in the sum of Rs.50,000 which was to be paid within two months from announcement of its order, failing which, the said amount would have fetched interest @ 10% p.a. from the date of the order pronounced by the District Forum.

(3.) Aggrieved by this order, the appeal was filed before the State Commission. The State Commission upheld the View taken by the learned District Forum. However, the cost was reduced to Rs. 20,000 instead of Rs. 50,000. The rest of the findings were not disturbed.