NATIONAL INSURANCE CO LTD Vs. T K RAJA

JUDGEMENT

(1.) The State Commission of Tamil Nadu at Madras, has ordered the Appellant Insurance Company to pay Rs. 1.70 lacs to the Complainant No. 1 as compensation with interest at 12 per cent from 3.7.1990 onwards a insurance loss on the lorry belonging to the repondent/complainant.

(2.) The lorry met with a fire accident on 2.6.1990. Shri T.R. Ravi made a preliminary survey of the insured property damaged by fire. This was followed by a final survey by M/s. Shanmugam Associates, Insurance Surveyors. Both the surveyors were appointed by the Appellant Insurance Company.

(3.) The second Surveyor declared that the whole vehicle had been affected by fire. It had been badly burnt out, the components were badly affected and needed total replacement and that it was not technically and economically possible to replace the vehicle. He, therefore, gave three alternative assessments of liability for the loss: