By Smt. C.S. Sulekha Beevi, President,

1. It is the say of complainant that his vehicle which is insured with opposite party dashed against an electric post of Kerala State Electricity Board. Complainant had to pay Rs.11,426/- towards damages to the Kerala state Electricity Board for which receipt was issued to him. Though complainant put forward a claim to opposite party to indemnify the above amount opposite party did not honour his claim. Hence this complaint.

2. Opposite party filed version admitting the insurance coverage. It is submitted by opposite party that complainant has violated condition No.2 of the policy which states that the complainant cannot enter into any arrangement or settlement with any other without the written consent of the company. That opposite party has not given any consent much less, a written consent to settle the matter with Kerala State Electricity Board and that therefore opposite party is not liable to compensate the complainant.. That complainant has not sustained any loss and what is claimed is reimbursement of a loss allegedly sustained by a third party which was made good by the complainant. That there is no deficiency in service.

3. Evidence consists of the affidavit filed by complainant and Exts.A1 to A6 marked for him. Opposite party filed counter affidavit. No documents marked for opposite party. Either side has not adduced any oral evidence.

4. Complainant is aggrieved that opposite party failed to reimburse the amount of Rs.11,426/- paid by him to Kerala State Electricity Board for the loss sustained by Kerala State Electricity Board on account of damage caused to the electric post in the accident involving the vehicle belonging to the complainant. Ext.A3 is the notice issued by Kerala State Electricity Board to complainant demanding him to pay Rs.11,426/-. Ext.A4 is the receipt for the payment of the said amount. Thus apparently complainant has paid the amount before obtaining any written consent from opposite party. The complaint is resisted by opposite party stating that as per terms and conditions of the policy, in case of any third party liability, the complainant has no right to arrive at any settlement or compromise with third party without the knowledge and consent of opposite party. Condition No.2 in page 6 of the policy produced along with version reads as under:

“No admission offer promise payment or identity shall be made or given by or on behalf of the insured without the written consent of the Company which shall be entitled if it so desires to take over and conduct in the name of the insured the defence or settlement of any claim or to prosecute in the name of the insured for its own benefit any claim for indemnity or otherwise and shall have full discretion in the conduct of any proceedings or in the settlement or any claim and the insured shall give all such information and assistance as the Company may require.”

 

5. It is clear that complainant cannot make any payment without the written consent of the Company. Complainant has thus violated the conditions of the policy and opposite party cannot therefore be held liable. In our view the repudiation is justifiable. We hold opposite party not deficient in service.

6. In the result,t he complaint fails. We make no order as to costs.

Dated this 18th day of March, 2009.

Sd/-

C.S. SULEKHA BEEVI, PRESIDENT

Sd/-

MOHAMMED MUSTAFA KOOTHRADAN, Sd/-

MEMBER E. AYISHAKUTTY, MEMBER

APPENDIX

Witness examined on the side of the complainant : Nil

Documents marked on the side of the complainant : Ext.A1 to A6

Ext.A1 : Certificate cum policy schedule.

Ext.A2 : Photo copy of the Certificate issued by Sub Inspector of

Police, Traffic Unit, Kondotty.

Ext.A3 : Demand Notice issued by Assistant Engineer, KSEB., Kondotty

to complainant.

Ext.A4 : Receipt for Rs.11,426/- from K.S.E.B. to complainant.

Ext.A5 : Lawyer notice dated, 20-6-2007 issued by complainant's counsel

to opposite party.

Ext.A6 : Motor Insurance Package Private Car (Policy Wordings)

Witness examined on the side of the opposite parties : Nil

Documents marked on the side of the opposite parties : Nil

Sd/-

C.S. SULEKHA BEEVI, PRESIDENT

Sd/-

MOHAMMED MUSTAFA KOOTHRADAN, Sd/-

MEMBER E. AYISHAKUTTY, MEMBER