Jharkhand

Bokaro

CC/36/2020

Mr. Amit Kumar Jaishwal, Prop. M/s Amit Trading S - Complainant(s)

Versus

Dy. VP & Zone Head Claim Tata AIG General Insurance Company Limited - Opp.Party(s)

Pradeep Kumar Jha

18 May 2023

ORDER

District Consumer Disputes Redressal Commission, Bokaro

Date of Filing-07-08-2020

Date of final hearing-18-05-2023

 Date of Order-18-05-2023

Case No. 36/2020

Mr. Amit Kumar Jaishwal, Prop. M/s Amit Trading Co.

S/o Sri Sohan Lal Jaishwal, Add- Shop No. 22,

Agricultural Market Yard, Bazar Samiti, Chas,

P.O & P.S- Chas, District- Bokaro, Jharkhand 827013

                                      Vrs.

1. Dy. VP & Zone Head Claim

Tata AIG General Insurance Company Limited

2.  

2. Regd. Office 15^th Floor, Tower A, Peninsula Business park, Ganpatrao Kadam Marg, Off Senapati Bapat Marg, Lower Parel, Mumbai-400013, Maharashtra

3. The Branch Manager, Canara Bank,

SME, Siwandih, Bokaro Steel City Branch, District Bokaro

Present:-

                             Shri Jai Prakash Narayan Pandey, President

                  Smt. Baby Kumari, Member

PER- J.P.N Pandey, President

-:Order:-

1. Complainant’s case in brief is that he is running  a shop at Bazar Samiti, Chas vide shop No. 22 in the name of M/s Amit Trading Company for which he opened C.C. account in the Canara Bank where it was directed to get the stock of the shop be insured with O.P. No.1 & 2 TATA AIG General Insurance Co. Ltd. hence complainant obtained insurance policy from O.P. No.1 & 2 through O.P. No. 3 valid from 27.05.2019 to 26.05.2020 and paid Rs. 16,740/- single premium. Accordingly policy No. 227001453401 was issued by O.P. No.1 & 2. Further case is that there was cyclonic storm  from 26.09.2019 to 29.09.2019 causing heavy rain due to which flood like situation arised and due to it total 612 packet food grains of Rs. 5,59,600/- was damaged. Further case is that on request with O.Ps. the surveyor of O.Ps. visited the shop on 12.10.2019 and prepared report and he obtained signature of the complainant also, who assured that there shall be payment of claim soon. It is further case that surveyor has not written correct facts in the report rather he has shown that due to seepage in the wall food grain has been damaged. Lastly legal notice was served having no impact. Thereafter, claim of the complainant has been repudiated on the ground that it is not being covered under the policy. Hence this case has been filed with prayer to direct the O.Ps. to pay the loss amount of Rs. 5,59,600/-, Rs. 50,000/- compensation and Rs. 25,000/- as litigation cost.
2. As per W.S. of O.P. No.1 & 2 complainant obtained alleged insurance policy valid for the period as mentioned in the complaint petition and loss was reported towards damage to stock on 09.10.2019 and forthwith surveyor was appointed who submitted report showing that cause of loss is seepage by water due to rain fall hence it was beyond the coverage of the policy. Further reply is that damaged stocks were not produced before surveyor for inspection accordingly claim has been repudiated with intimation to the complainant hence it is prayed to dismiss the case.
3. Inspite of due service of notice O.P. No.3 has not filed W.S. in the case but he has participated in the proceeding.
4. Point for consideration is whether complainant is entitled to get relief as prayed or not?
5. On careful perusal of the case record it appears that following facts have been admitted by the parties:-

1. That complainant was running a shop in the shop No. 22 of Bazar Samiti Chas.
2. That said shop is being run in the name of M/s Amit Trading Co.
3. That the stock of the said shop was insured with the O.P. No.1 & 2 for the period from 27.05.2019 to 26.05.2020 for Rs. 52,00,000/-.
4. That complainant reported the matter regarding damage of the food grains of the shop to the O.Ps.
5. That on report by the complainant regarding damage of the food grains stock O.P. No.1 & 2 appointed surveyor.
6. That Surveyor of the O.P. No.1 &2  has surveyed the shop to ascertain the loss to the complainant.
7. That Surveyor has submitted the report before the O.Ps.
8. That there was loss to the complainant by damage of the stock of food grains.

6. Only dispute is that whether the damage caused to the food grains stock of the complainant was covered under the insurance policy or not?
7. As per complainant during the period from 26.09.2019 to 29.09.2019 there was heavy rain due to cyclonic storm. As per O.P. No. 1  & 2 the food grains stock was damaged due to seepage by rain. In this way both parties are common about damage to the food grain due to heavy rain.
8. On behalf of the complainant two witnesses have  been examined, amongst which witness No. 1 is Roshan Kumar  and he has supported the contents of the complaint petition during examination-in-chief and during cross examination he states that he is night guard of the Bazar Samiti. Nothing adverse has been brought in his cross- examination.
9. Witness No.2 is complainant himself who has fully supported the contents of the complaint petition in his examination in chief on affidavit and during cross examination also he states at para 19 that total 612 packet food grain was damaged. This witness has also stated that due to cyclonic heavy rain such damage was occurred.
10. On perusal of the claim repudiation letter dt. 10.01.2020 it appears that there is coverage under the insurance policy in respect to damage of the stock due to Storm, Cyclone, Typhoom, Tempest, Hurricane, Tornado, Flood and Inundation, impact damage, Bursting and /or overflowing of water tanks apparatus and pipes etc. On perusal of the report of Disaster Management Dept. of the Govt. of  India during the relevant period from 24 Sept. 2019 there was Cyclonic Storm named as ‘HIKAA’. Said report is on record filed by the complainant apart from filing of the News Paper Clipings. Therefore, it is very much proved by the complainant that damage of the food grain was due to Cyclonic Storm (Heavy Rain) which caused flood like situation in the area and damage to the complainant and others.
11. So far, quantum of damage is concerned it is very much clear from Surveyor’s  report dt. 12.10.2019 signed by the Surveyor and complainant that 412 packet of 25 KG. each having value of Rs. 800/- per packet and 200 packet of 50Kg. each having value of Rs. 1150/- per packet was found damaged by the surveyor and those food grains were rice. In this way the report of the surveyor of O.P. No.1 & 2 is certifying that there was loss/damage to the complainant to the tune of Rs. 5,59,600/- for which payment has not been made by the O.Ps. No.1 & 2. Since due to heavy rain/flood like situation caused by HIKKA Cyclone there was seepage in the shop which was beyond control of the complainant hence we are of the view that such situation is fully covering under the policy concerned. Though complainant has filed so many other papers including the policy paper, bank statement regarding payment made for purchase of the food grains stock, tax invoice in support of purchase of the food grains but detail discussion about it is not being made because of the fact that most of the facts are either admitted facts or written by the surveyor of the O.P. No.1 & 2.
12. In light of above discussion we are of the view that repudiation of the claim of the complainant is not justifiable rather claim is being fully covered under the policy. Hence we are of the opinion that complainant is able to prove his case for grant of relief. Accordingly this point is being decided in favour of the complainant.
13. Hence prayer of the complainant is being allowed in the following manner:-

O.P. No.1 & 2 are directed to pay Rs. 5,59,600/- (the amount of damaged stock) to the complainant within 60 days from receipt/production of the copy of this order, failing which they shall pay interest on it @ 10% per annum from 07.08.2020 (i.e. the date on which case was filed). Further O.P. No.1 & 2 are directed to pay Rs. 25,000/- as compensation for various types of harassment and Rs. 10,000/- as litigation cost to the complainant within above mentioned period.

 

                                                                                                                                                                                      S/d

(J.P.N. Pandey)

                                                                                      President

 

 

       S/d              

                                                                               (Baby Kumari)

                                                                                       Member