Haryana

StateCommission

A/264/2015

RELIANCE GEN.INSURANCE CO.LTD. - Complainant(s)

Versus

BABU LAL YADAV - Opp.Party(s)

P.M.GOYAL

05 Nov 2015

ORDER

STATE CONSUMER DISPUTES REDRESSAL COMMISSION HARYANA, PANCHKULA

                                                 

First Appeal No  :      264 of 2015

Date of Institution:     19.03.2015

Date of Decision :      05.11.2015

 

M/s Reliance General Insurance Company Limited, 104-105, First Floor, H-10, Netaji Subhash Place, Pitampura, Delhi.

                                      Appellant-Opposite Party

Versus

 

Babu Lal Yadav s/o Sher Singh, r/o Village Dhani Shankar Wali, Post Office Bhora Kalan, Tehsil and District Gurgaon.

Respondent-Complainant

 

 

CORAM:   Hon’ble Mr. Justice Nawab Singh, President.

                   Shri B.M. Bedi, Judicial Member.

                   Shri Diwan Singh Chauhan, Member                                                                                                                                          

Present:     Mr. Gaurav Sharma, Advocate for the appellant.

None for the respondent

 

                                                   O R D E R

 

NAWAB SINGH J.(ORAL)

 

          By filing this appeal, Reliance General Insurance Company Limited-opposite party (for short ‘Insurance Company’) has challenged the order dated September 16^th, 2014 of District Consumer Disputes Redressal Forum, Gurgaon (for short ‘District Forum’), whereby, complaint filed by Babu Lal Yadav-complainant was accepted. For ready reference, operative part of the order is reproduced as under:-

                   “4.     Consequently, under the circumstances of the case the OP is directed to appoint a Surveyor and settle his claim by adjusting from his amount the balance premium of Rs.18,311/- within 60 days, failing which the complainant will be entitled to refund of claim of Rs.90,371/- with interest @ 9% per annum from the date of filing of the complaint till realization.  The complainant is also entitled to compensation for harassment causing mental agony Rs.15,000/- besides litigation expenses of Rs.5000/-…” 

2.      Complainant got insured his vehicle on June 19^th, 2008 with the Insurance Company for the period June 20^th, 2008 to June 19^th, 2009 and issued a cheque of Rs.18,311/- of the same date qua premium amount.  On August 10^th, 2008 vehicle met with an accident.   The complainant submitted his claim with the Insurance Company but it was not settled.  Hence, the complaint.

3.      The Insurance Company in its reply pleaded that the cheque of Rs.18,311/- issued by the complainant towards premium amount was dishonoured due to insufficient funds.  The policy was cancelled.  The amount of Rs.3,433/- was refunded to the complainant. The complainant was not entitled to any claim from the Insurance Company.

4.      Indisputably, cheque issued by the complainant was dishonoured on account of “Insufficient Funds”. So, the policy was cancelled. The vehicle met with an accident on August 10^th, 2008.  On the date of accident, no contract was existed between the parties.  Thus, the Insurance Company was, therefore, not at risk and not liable to pay any compensation to the complainant.

5.      In this view of the matter, the District Forum fell in error in allowing the complaint.  Hence, the appeal is accepted, impugned order is set aside and the complaint is dismissed.

6.      The statutory amount of Rs.25,000/- deposited at the time of filing the appeal be refunded to the appellant against proper receipt and identification in accordance with rules, after the expiry of period of appeal/revision, if any.

 

 

Announced 05.11.2015

(Diwan Singh Chauhan) Member

(B.M. Bedi) Judicial Member

(Nawab Singh) President

UK