ORIENTAL INSURANCE COMPANY LIMITED Vs. BABULAL AGNIHOTRI

JUDGEMENT

(1.) This appeal is by the Oriental Insurance Company Limited against whom, District Forum, Rewa has passed order directing the appellant to pay to the respondent-insured a sum of Rs.10,817/- on account of damage caused to his jeep in an accident.

(2.) It is no more in dispute that the jeep in question was insured with the appellant-Company and the incident took place when the insurance was still in force. The only contention raised by the Insurance Company is that the jeep at the relevant time was being used for commercial purpose, which was in violation of the terms of the policy inasmuch as the jeep was registered and insured for personal use only.

(3.) The Forum below though recorded a finding that the jeep at the relevant time was used for commercial purpose but still allowed the complaint holding that the said commercial use of the vehicle was not the cause of accident. Reliance was placed on a decision of this Commission in Smt. Usha Pavaiya V/s. United India Insurance Co. Ltd., 2002 1 CPJ 321. In the said case the violation was on account of over-loading of the vehicle and the Commission has held that though technically there was violation of terms of policy but the said violation was not the cause of accident.