NATIONAL INSURANCE CO. LTD. Vs. SHANKAL AGARWAL

JUDGEMENT

(1.) Hearing of the matters is pre-poned. The date of 08.11.2017 be treated as cancelled. The applications stand disposed of. The complainant/respondent Sumitra Agarwal who is running business under the name and style of 'Amrit Flour Mills', obtained an insurance policy from the appellant company in respect of his business stock, furniture and fixtures. A fire broke out in the premises of the complainant in the night of 4th/5th June, 2006. A claim under the aforesaid policy was lodged by him with the insurance company. A surveyor was duly appointed to assess the loss but, the claim could not be settled since the appellant company wanted to settle the claim paying a lump-sum amount of Rs.5,59,000/- to the complainant, which he refused to accept. Being aggrieved from the failure of the insurer to pay the claim, the complainant approached the concerned State Commission by way of a consumer complaint.

(2.) The complaint was resisted by the appellant company primarily on the ground that while taking the insurance policy, the complainant had not disclosed what the insurer termed as the 'adjoining and intercommunicating risks'. By adjoining and intercommunicating risks, the appellant means risk of fire on account of the business or trade being carried out or the goods being stored in the adjoining/neighbouring premises. The State Commission having allowed the complaint and having directed the insurer to settle the claim of Rs.11,34,459/- in terms of the assessment made by the surveyor and interest the appellant is before this Commission by way of this appeal. Since there is a delay of 108 days in filing the appeal, an application seeking condonation of the said delay has also been filed.

(3.) The complainants/respondents who are carrying out business under the name and style of M/s Sumitra Enterprise, obtained an insurance policy in respect of their business, stock, furniture and fixtures. In the fire which broke out on 4th/5th June, 2006, there was loss/damage to their business, stock etc. The claim lodged by them with the appellant company could not be settled since the insurer offered an amount of Rs.20,94,555/- as against the assessment of Rs.42,00,817/- made by the surveyor appointed by the insurance company. Being aggrieved, the complainant approached the concerned State Commission by way of a consumer complaint.