DISTRICT CONSUMER DISPUTES REDRESSAL FORUM-II

U.T. CHANDIGARH

M/s Scan Centre, SCO No.50-51, Sector 34-A, Chandigarh, through its Incharge Partner Dr. J.S. Sandhu.

                                                                                    ---Complainant

V E R S U S

National Insurance Company Limited, SCO 813, Chandigarh Kalka Road, Manimajra, U.T. Chandigarh, through its Branch Manager.

---Opposite Party

BEFORE:            MRS.MADHU MUTNEJA                   PRESIDING MEMBER

                        SH.JASWINDER SINGH SIDHU            MEMBER

Argued By:      Sh. Kulwinder Singh, Adv. for the Complainant.

Sh. Navin Kapur, Adv. for the OP.

PER JASWINDER SINGH SIDHU, MEMBER

1.             Complainant has filed the present complaint against the Opposite Party (hereinafter referred to as OP for short), on the grounds that the Complainant had got the Scan Machine of the name Multi Slice CT Scan Simaton Emotion-6 Make Simens Model 10165880, Sr.No. 29265, year of make 2008, worth Rs.70.00 lacs, insured from the OPs, by paying Rs.72,423/-, through receipt No. 420200/81/09/0000006730, dated 26.02.2010. The policy bearing No. 420200/44/09/6000000019 (Annex.C-1), was raised and the same was effective from 17:55 hrs. on 26.2.2010 to Midnight 25.2.2011. The risks covered included the complete machine with a special exclusion (the tube of the machine was not covered).   

                The aforesaid Scan Machine in question went out of order and the OP was duly informed through their communication dated 18.6.2010, subject intimation of “Breakdown Insurance”. After this intimation, one Mr. Sanjay Gupta, Surveyor and Loss Assessor was deputed, who submitted his survey report dated 09^th Sept., 2010, assessing the max. liability of the insurer to the tune of Rs.7,44,800/-.  It was also commented in the survey report that the machine was repaired in the presence of the surveyor by replacing the damaged slip ring.  Thereafter, the Complainant followed up the matter with the OP, for the release of the claim amount.

                The Complainant is aggrieved due to the repudiation of its claim by the OP mentioning the grounds (1) that the firm M/s CT Scan does not have insurable interest on said machine; (2) the damaged to machine has not been caused by external event acting on the system or by a fire generated within the system. 

                The Complainant had repeatedly requested the OP to settle the claim. But on being not heard, finally, served a legal notice dated 28.10.2010 (Annex.C-5), asking the OP to do the needful, within 15 days of the receipt of the notice. Complainant on not having received any reasonable reply, has filed the present complaint, and pray for release of claim of Rs.9.80 lacs, along with Rs.1.00 lac as compensation for harassing and wrongly refuting the claim of the Complainant.       

2.              On notice, OP has filed its version/ written statement and has contested the claim of the complainant by raising preliminary objections to the present complaint stating that there is no deficiency in service on their part and the Complainant should have moved the Civil Court for this purpose. It is further stated that the claim of the Complainant is not payable as the policy was got issued by the Complainant in its own name showing it to be owner of the machine. But the actual owner of the machine was Dr.Sandhu’s Pathology and Imaging Center. Therefore, the Complainant did not have any insurable interest in the machine as such. It is further stated that since the damage to the machine has not been caused by any external event, or by a fire generated within the system, the claim is not maintainable as per the notification of “Tariff Advisory Committee”, dated 13.6.2001 [Annex.R-2].

                On merits, the OP has contested that the said CT Scan Machine in question was never purchased by the Complainant; whereas, in fact, the same was purchased by Dr. Sandhu’s Pathology and Imaging Centre. The onus of proving the averments of the complaint lies on the Complainant. It is further mentioned that the Complainant got issued an insurance policy in respect of CT Scan Machine in its own name, showing it to be the owner of the machine. But the actual owner of the machine was Dr. Sandhu’s Pathology and Imaging Center. The policy was accepted by the Complainant, after having understood the coverage, terms and conditions and limitations, contained therein. The true copy of the policy is annexed at Annexure R-3.  Hence, the Complainant is not entitled to claim any indemnification in respect of loss caused to the said machine. 

                The OP has denied any deficiency in service or unfair trade practice on its part, as the loss was got assessed by the OP through an independent surveyor and loss assessor, who submitted his report dated 9.9.2010. The copy of the said report is attached herewith as Annexure R-6.  The OP has, thus, prayed for the dismissal of the present complaint, with specific orders as to costs. 

3.              Parties led their respective evidences.

4.              Having gone through the entire complaint, version of the OP, the evidence of the parties and with the able assistance of the ld. Counsel for the parties, we have come to the following conclusions:-

(i)     The two points in contention which require special mention are attributed to the reasons mentioned for the repudiation of the claim of the Complainant:-

(a) The Complainant does not have insurable interest on said machine;

(b) The damage to machine has not been caused by external event acting on the system or by a fire generated within the system. 

        While dealing with above Para.1 (a) above, we find that the title of the insurance clearly states the insured’s name as M/s Scan Center, bearing Address: SCO 50-51, Sector 34-A, Chandigarh. And also, while going through the Statement of Account maintained by the Complainant with Karur Vysya Bank, clearly shows the payment of Rs.72,423/- to the OP a Cheque No. 213185, dated 3.3.2010, meaning thereby that the said machine in question was very much owned and maintained by the Scan Center. However, OP has failed to bring on record the documents which according to them have established the fact that the said machine instead of belonging to the Complainant, actually belonged to Dr. Sandhu’s Pathology and Imaging Centre.  Hence, there is no ground to prove that the Complainant is not the rightful claimant of the claim of the machine in question. 

(ii)    Coming to the second part of above clause i.e. 1(b), it is important to visit the surveyor report of the surveyor, who had assessed the loss of the machine in question. Wherein, on page 20, under the heading “CAUSE OF LOSS”, it is clearly mentioned while reaching the conclusion that the cause of loss cannot be associated with any external event or to fire generated inside the machine. Hence according to the TAC circular No. Engg/Gen/01/26, dated 13.6.2001, the loss does not all within the purview of the EEI Policy.

                The Complainant while moving the present complaint did not bring any evidence to prove that the observations made by the Surveyor while negating the claim of the Complainant, were wrong i.e. there should have been some cogent, reliable and trustworthy evidence to rebut the independent surveyor report, on the basis of which the claim of the Complainant was repudiated.  The OP on their part had also sought a legal opinion (Annex.R-5) with regard to the claim of the Complainant and that too had negated the claim.       

5.              In the light of above observations, we do not find any merit in the present complaint as the complainant has failed to prove its case convincingly. Hence, we dismiss the present complaint with out costs. However, the parties are left to bear their own costs of litigation.

6.                 Certified copy of this order be communicated to the parties, free of charge. After compliance file be consigned to record room.

Announced

29^th November 2011.                                                                   

Sd/-

(MADHU MUTNEJA)

PRESIDING MEMBER

Sd/-

 (JASWINDER SINGH SIDHU)

MEMBER