Haryana

StateCommission

A/295/2015

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

Versus

NIBHA(MINOR) AND OTHERS - Opp.Party(s)

P.M.GOYAL

05 Nov 2015

ORDER

STATE CONSUMER DISPUTES REDRESSAL COMMISSION HARYANA, PANCHKULA

                                                 

First Appeal No  :      295 of 2015

Date of Institution:     26.03.2015

Date of Decision :      05.11.2015

 

1.      M/s Reliance General Insurance Company Limited, 1^st Floor, City Centre, G.T. Road, Opposite I.B. College, Panipat.

 

2.      M/s Reliance General Insurance Company Limited, Plot No.2, Tower F, 1^st Floor, DLF Building I.T. Park, Chandigarh.

                                      Appellants-Opposite Parties

Versus

 

1.      Ms. Nibha (Minor) d/o Mr. Avdesh Singh s/o Ambika Singh.

 

2.      Mr. Suraj Singh (Minor) s/o Avdesh Singh.

 

3.      Mr. Parkash (Minor) s/o Avdesh Singh.

 

          All through natural guardian Mr. Sanjay Singh (Brother s/o Rudardev Singh s/o Ambika Singh.

 

          All residents of House No.749-A, Ward No.13, Sikka Colony, Sonepat, Haryana.

Respondents-Complainants

 

 

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 appellants.

Mr. T.P.S. Teji, Advocate for the respondents-complainants

 

                                                   O R D E R

 

NAWAB SINGH J.(ORAL)

 

          A truck bearing No.HR69A-1092 owned by Avdesh Singh (since deceased) was insured with Reliance General Insurance Company Limited-opposite parties (for short ‘Insurance Company’) from April 10^th, 2012 to April 09^th, 2013.  It met with an accident on March 08^th, 2013.  The truck was damaged.

2.      Minor children through their natural guardian Sanjay Singh filed complaint before the District Consumer Disputes Redressal Forum, Panipat (for short ‘District Forum’) seeking compensation of Rs.1,76,000/- on account of damage caused to the truck. 

3.      The Insurance Company in its reply pleaded that at the time of making proposal for the insurance, the insured had already died and insurance policy was obtained in the name of a dead person, so, it was not a valid contract and the Insurance Company was not liable to pay any compensation on the basis of such ab-initio void contract. 

4.      The District Forum vide impugned order dated December 05^th, 2014 allowed the complaint directing the Insurance Company to pay Rs.90,000/- with interest at the rate of 9% per annum from the date of filing of complaint till its realization; Rs.10,000/- compensation for deficiency in service and Rs.2200/- litigation expenses.

5.      The Insurance Company has challenged the said order by filing the present appeal.

6.      Indisputably, Avdesh Singh (since deceased) was the registered owner of the truck in question and died on April 28^th, 2011 as mentioned in Annexure C-10. The truck was insured with the Insurance Company from April 10^th, 2012 to April 09^th, 2013.  It met with an accident on March 08^th, 2013 when Avdesh Singh had already died. Since registered owner of the truck had already died, the insurance policy could not have been purchased in the name of dead person.  The question of purchasing of the insurance policy in the name of dead person does arise.  This being so, there was no privity of contract between Avdesh Singh and Insurance Company. 

7.      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.

8.      The statutory amount of Rs.25,000/- deposited at the time of filing the appeal be refunded to the appellants 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