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

1.  Complainant is the sole Proprietor of ’Brothers Oil Products’ which was insured with opposite party under a Standard Fire and Special Perils Policy, for a sum of rs.10,55,640/-. The establishment caught fire on 21-3-2003 and he sustained a loss of Rs.4,50,000/-. Complainant preferred a claim to opposite party. A Surveyor was deputed for assessment of damages. The compensation calculated by opposite party is very less and unsustainable in law. Hence this complaint alleging deficiency in service.

2. Opposite party filed version admitting the insurance Coverage. It is stated that the extent of liability is limited as per terms and conditions of the policy. That from investigation it is understood that the loss due to fire happened to the smoke house and the copra stocked on the smoke house and only the half portion of the godown/main building is damaged. That opposite party insured only the godown/main building and the stock in godown along with the plant/Machinery and accessories, electrical installation. That opposite party is not liable to compensate damage caused to items which are not insured. The net assessed liability as per the Surveyor’s report is Rs.21,040/-. Deducting Rs.10,000/- as per the policy exclusion clause No.1, the amount payable is Rs.11,040/-. This amount was paid to Canara Bank under the Agreed Bank Clause for which the bank has issued discharge voucher in full satisfaction and settlement. That there is no lapse or deficiency in service.

3. Evidence consists of the sworn affidavit of complainant and Exts.A1 to A5 marked for him. Opposite party filed counter affidavit and Exts.B1 to B9 marked for opposite party.

4. The main arguments advanced on the side of complainant at the time of hearing was that the Surveyor did not take into consideration the stock of Copra which was burnt. In Ext.B1 survey report the Surveyor has stated that about 2 tons of Copra were burned in the fire which were spread over the ’Chevu’ (drier). That each ton cost Rs.40,000/-. But this has been totally excluded in considering the liability. It was explained and submitted by counsel for opposite party that only the stock stored in the godown was insured. That the copra that was found burned was not stocked in the godown but was spread over the drier. It is admitted by complainant in last sentence of para 6 of the affidavit that the copra was stacked over and above and near the drier. On perusal of Ext.B6 policy it is crystal clear that only the stock of copra stored in the godown was insured. Hence the denial of compensation towards the loss of copra is justifiable. Further the amount has been already paid to the Bank which is the proposer/insured in the policy. Bank has not raised any objection regarding the compensation received. For the above reasons we have to hold that the repudiation of policy is proper and legal. We do not find opposite party deficient in service.

5. In the result we dismiss the complaint. There is no order as to costs.

Dated this 13th day of July, 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 A4

Ext.A1 : Photo copy of the provisional policy schedule issued by

opposite party to complainant.

Ext.A2 : Photo copy of the Extract of General Diary dated, 24-3-03

of Kulathur Police Station.

Ext.A3 : Photo copy of the report dated, 22-3-03 of Fire Station, Malappuram.

Ext.A4 : Photo copy of the GD Certificate dated, 31-3-2003 from Kulathur

Police Station to complainant.

Ext.A5 : Photo copy of the Copra Stock register, 2003.

Witness examined on the side of the opposite parties : Nil

Documents marked on the side of the opposite parties : Ext.B1 to B9

Ext.B1 : Survey report with photos and negatives dated, 21-4-03.

Ext.B2 : Computer print of letter dated, 23-5-2003 from opposite party

to complainant.

Ext.B3 : Computer print of settlement intimation voucher.

Ext.B4 : Computer print of Claim disbursement voucher dated, 23-5-2003.

Ext.B5 : Carbon copy of the letter dated, 23-6-2003 from opposite party

to Canara Bank, Perintalmanna.

Ext.B6 : Computer print of duplicate schedule with terms and conditions

of Standard Fire and Special Perils Policy.

Ext.B7 : Extract of General Diary dated, 24-3-03 (original)of Kulathur Police Station.

Ext.B8 : Letter dated, 27-3-2003 from Station Officer, Fire & Rescue station,

Malappuram to complainant.

Ext.B9 : Fire Report dated, 22-3-2003 from Station Officer, Fire & Rescue Station,

Malappuram.

Sd/-

C.S. SULEKHA BEEVI, PRESIDENT

Sd/-

MOHAMMED MUSTAFA KOOTHRADAN, Sd/-

MEMBER E. AYISHAKUTTY, MEMBER