ORIENTAL INSURANCE CO LTD Vs. SHIV KUMAR

JUDGEMENT

(1.) The Oriental Insurance Company has come up in appeal against the order dated 10th April, 1997 passed by learned District Forum, Hissar, whereby complaint of Shiv Kumar has been allowed alleging deficiency in service against the appellant-Insurance Company in the matter of payment of the insured amount of Rs.13,511/- along with 18% interest from the date of filing the complaint.

(2.) Complainant had approached the District Forum with the grievance that even though he had got his vehicle insured with the Oriental Insurance Company on 10th January, 1994 and his vehicle had met with an accident on 24th August, 1994, yet his claim for Rs.13,511/- had not been allowed by the appellant-Company. In their reply, the Insurance Company pleaded that according to survey report prepared by an employee of the Company the loss was only of Rs.3,813/-. The learned District Forum however found that the survey report was not based on any cogent and convincing evidence and the author of the report being only an employee of the Company was supposed to watch best interest of the Company, that is why he had reduced the amount of the damage caused to the vehicle from Rs.13,511/- to Rs.3813/-.

(3.) In the appeal before us the learned Counsel for the Insurance Company has vehemently contended, that there was no privity of contract between the complainant and the appellant and the complaint should have been dismissed on that ground, because the policy was not transferred at any time in favour of the appellant by one Vijay Singh, who had sold this vehicle to the complainant. Firstly, the plea has not been raised regarding the non-transfer of the vehicle by the Insurance Company before the District Forum and secondly the complainant being beneficiary was certainly entitled to maintain the complaint. Moreover, when the appeal was originally filed before us, we passed the following order on 20th May, 1997: "notice to the respondent for 1st September, 1997. In the meantime the Insurance Company - appellant is directed to deposit the amount awarded by the learned District Forum within one month from today and the same shall be disbursed to the complainant after obtaining security for the refund of the same in case the appeal succeeds". Till today, the appellant-Insurance Company has not complied with the order, despite that we have shown indulgence to the learned Counsel by permitting him to proceed with his submissions. After hearing the learned Counsel for the appellant and Mr. Shiv Kumar, complainant- respondent appearing in person, we do not any merit in the appeal, as the learned Counsel for the appellant has reiterated the stand taken by the Insurance Company before the District Forum, which has already been repelled. To be fair to the learned Counsel for the appellant it may be noticed, that he has also placed reliance on the judgment of the Hon'ble Supreme Court in the case of Complete Insulations (P) Ltd. V/s. New India Assurance Company Ltd., 1996 1 CPJ 1, to contend, that the complaint was not maintainable by transferee of the vehicle for claiming any damage to the car or to cover third party risk. We have gone through the judgment of the Hon'ble Supreme Court, but it does not support the case of the Insurance Company, because the Hon'ble Supreme Court was considering the appeal against the order of the Hon'ble National Commission regarding the indemnification also third party risk. In the present case the Insurance Company has already conceded the claim of the complainant and had agreed to pay an amount of Rs.3,813/- as assessed by their Surveyor, instead of Rs.13,511/- as awarded by the learned District Forum. Therefore, the question of non-maintainability of the complaint does not arise in the present case. Consequently, the appeal is dismissed with costs, which are quantified as Rs.500/-.