UNITED INDIA INSURANCE CO LTD Vs. MASTER VARUN

JUDGEMENT

(1.) This appeal is directed against the order of the District Forum, Solan, dated 22.8.1996, whereby the appellant/opposite party (hereinafter to be referred to as the Insurance Company) has been directed to pay to the respondents/complainants (hereinafter to be referred to as the complainants) a sum of Rs.1,00,000/- alongwith interest @ 12% per annum from the date of repudiation of the claim i. e. from29.11.1994 till the date of payment and costs of Rs.1,000/-.

(2.) The facts which are not in dispute are that one Shri Vinod Kumar was the registered owner of vehicle No. HP-03-0744 and the policy of insurance was obtained in the name of Shri Vinod Kumar for the period from 27.10.1992 to 26.10.1993 although Shri Vinod Kumar had died on 13.7.1990 more than two years before the insurance. In the Cover Note of insurance, the full particulars of the vehicle insured have been shown. The insurance cover stipulates that the Insurance Company will indemnify the insured against loss or damage to the Motor Car against fire, theft and certain other contingencies and situations. During the period when the insurance policy was in force, on 8.6.1993, the vehicle was said to have been stolen from a place where it was parked by the complainants. The FIR regarding the theft of the vehicle was lodged at the Police Station, Dharampur and the Insurance Company was also informed about the theft. The claim, however, of the complainants was repudiated by the Insurance Company on the ground that the insurance policy was obtained by the complainants by mis-representation of facts in the name of a dead person for the period from 27.10.1992 to 26.10.1993 where as Shri Vinod Kumar Jain had died on 13.7.1990. This fact, according to them, was concealed from the Insurance Company while getting the insurable interest in favour of Shri Vinod Kumar and there cannot be any contract between the dead person and the Insurance Company.

(3.) There is no dispute that the premium for the insurance policy was paid regularly in the years 1990-91,1991-92 and 1992-93 and also for the period of insurance cover when the theft of the vehicle took place and that the policy was in force at that time. The policy was renewed from time to time after the expiry of the insurance policy and even after the death of Shri Vinod Kumar.