SHAMSHER ALI Vs. NATIONAL INSURANCE CO.LTD.

JUDGEMENT

(1.) ORDER dated 30.9.2005 has been challenged through the medium of this appeal. Learned Divisional Consumer Protection Forum, (hereinafter to be referred to as the Forum had granted claim in favour of the appellant to the extent of Rs.75,000 of the sum insured in the amount of Rs. 2,95,000 vide two insurance policies No.691366 for Rs.2,00,000 and No.691369 for Rs.95,000. Policy No.691366 became effective on 16.7.2002 and was valid upto 15.7.2003 and the next policy became effective on 17.7.2002 and was valid upto 16.7.2003. The appellant had been running a cloth shop and a cotton carding machine in the town of Banihal and both the business units were insured under the above said insurance policies. The case of the appellant is that on 18.7.2002, the said units were completely destroyed by fire which erupted due to a militancy related incident. The claims were raised before the respondent immediately after the incident but they were not settled. Legal notice dated 22.4.2004 was given to the respondent which was replied vide notice dated 12.5.2004 wherein the incident was admitted but the claim were not been settled on the ground that there was proximity of time between the issuance of above said insurance policies and the alleged incident. In the said notice an assurance had been given to the appellant that steps were being taken for the finalization of the claims.

(2.) ULTIMATELY the appellant on 18.5.2004 filed the complaint before the Forum which was accepted to the extent that his claim to the actual loss suffered was slashed down to the extent of 25% on the basis of approximate formula adopted by the learned Forum for determining the claims. In addition interest @ 9% from the date of incident till final realization, as also the litigation expenses of Rs.3,000, were granted

(3.) THE appellant has felt aggrieved about the deduction of 25% claim so he has filed the appeal. It is also pleaded that the rate of interest was claimed @ 12% and the learned Forum has erred in allowing it @ 9% p.a. only.