Per Mr.P.N.Kashalkar, Hon’ble Presiding Judicial Member

This appeal has been directed against the judgement and award passed by District Consumer Disputes Redressal Forum, Solapur in consumer complaint no.219/2009 dated 12/11/2009. While allowing the complaint partly, forum below directed O.P./Insurance company to pay sum of Rs.2,90,000/- towards insurance claim with interest @ 9% p.a. from 21/4/2009 till realization of entire amount and also directed to pay Rs.1000/- towards cost of the complaint.  As such, Insurance company has filed this appeal.  Facts to the extent material may be stated as under:-

Complainant Mr.Vasudeo Narhari Dhage, advocate by profession, resident of Barshi had purchased Santro car bearing no.MH-13-AC-1816 in the year 2007 and had insured the vehicle with O.P./Insurance company.  For the year 2008-2009, Insured Declared Value of the said vehicle was Rs.2,90,000/- and premium was paid for the period 07/3/2008 to 06/3/2009.  On 14/7/2008, there was an accident to the car of the complainant near Kurduwadi and his car was damaged in the said accident.  Complainant gave intimation of the accident to the Insurance company.  At the instance of Insurance company, surveyor went to the spot and prepared spot panchanama report. Thereafter, car was taken to the showroom of Rahul Hyundai at Solapur-Authorized dealer.  Car was got repaired from the said dealer.  After completion of repair works, Surveyor again carried out survey and submitted survey report to the Insurance company on 01/1/2009.  By paying final bill of `3,18,000/-, complainant took possession of the car from the service centre.  Insurance company however offered paltry sum of `1,52,300/- which complainant was prepared to accept under protest but said amount was not given as it was conditional acceptance on the part of complainant.  Therefore, ultimately, complainant lodged consumer complaint in the forum below claiming `3,18,000/- towards compensation  for the repairs carried out to the vehicle involved in the accident. 

Insurance company filed its written statement and denied the allegations made by the complainant.  According to Insurance company, the vehicle in question was insured with the company and insurance cover was available to the said vehicle from 07/3/2008 to 06/3/2009.  Company also admitted that this vehicle was involved in the accident and its surveyor Mr.N.D.Gulme had been deputed for making spot survey immediately after the accident that took place on 14/7/2008.  On 15/7/2008 and 18/7/2008 spot survey was made by the surveyor and report was submitted to it.  Surveyor, ultimately after perusal of various documents and bills, reported in his survey report that amount payable to the complainant should be `1,68,755/-.  However, insurance company had directed surveyor to make Bill Check report. Ultimately, on 18/12/2008 surveyor submitted Bill Check report and recommended that amount of `1,52,300/- should be paid to the complainant by way of indemnification.  Company therefore, had sent discharge voucher for the amount of `1,52,300/-.  Complainant refused to take the same and, therefore, company pleaded that it was not guilty of deficiency in service of any kind.  As such it pleaded that complaint should be dismissed with cost. 

O.P.no.5 –dealer of the vehicle in the written statement pleaded that vehicle in question was repaired by it and it received an amount of Rs.2,50,000/- by demand draft and Rs.68,000/- in cash and it had repaired the vehicle involved in the accident properly and had given delivery of the same to the complainant.  It pleaded that it had not committed any deficient service in repairing the said vehicle. 

On the basis of affidavits and documents placed on record, forum below was pleased to hold that the Insured Declared Value of the vehicle was Rs.2,90,000/- and, therefore, it directed insurance company to pay sum of Rs.2,90,000/- towards the insurance claim lodged by the complainant with interest @ 9% p.a. and also awarded cost of Rs.1000/-.  Aggrieved by the said order, United India Insurance Company Ltd. has filed this appeal.

We heard submissions of Mr.Rahul Mehta-Advocate for the appellant and Mr.V.G.Indrale-Advocate for the respondent.

We perused the impugned judgement and award passed by the District Consumer Disputes Redressal Forum.  Accident of the vehicle is not in dispute.  The vehicle was admittedly insured with appellant/Insurance company.  Insurance cover was in force on the date of accident. After accident immediate intimation was given by the respondent to the appellant.  Accordingly, appellant had appointed surveyor for spot survey report. Vehicle was then taken to O.P.no.5 for repairs in its service centre.  For repairs the bill of `2,50,000/- + `68,000/- was paid by the complainant in terms of demand draft and cash amount and claim was lodged with the Insurance company/appellant herein by the respondent.  The surveyor of the Insurance company had simply recommended payment of `1,52,300/- in its final Bill Check report submitted on 18/12/2008 to the appellant company.  Accepting the said figure recommended by surveyor, Insurance company offered the said amount to the complainant.  Complainant was prepared to accept the same under protest, but company was not willing to give said amount under protest and, therefore, dispute ultimately, landed in the District Consumer Disputes Redressal Forum, Solapur in terms of complaint filed by the respondent herein. 

We are finding that when the amount of `3,18,000/- was spent by the complainant for repairs of the vehicle involved in the accident and when Insured Declared Value of the vehicle was admittedly `2,90,000/- as per policy issued by the Insurance company, we fail to understand as to how Insurance company offered paltry amount of `1,52,300/- when the complainant admittedly had spent amount of more than `3,18,000/- for repairs of the said car.  In our view Insured Declared Value of the vehicle is arrived at by the Insurance company primarily taking into account the age of the vehicle and the resultant depreciation of various parts.  Once Insurance company arrives at figure of Insured Declared Value while issuing policy for the new year, in our view said amount is due and payable by the Insurance company in the event vehicle involves in the accident and for repairs the insurer had to spent more than `3,18,000/- to the authorized dealer of the company.  It is for this reason we are of the view that in the circumstances like this, appellant /Insurance company is required to pay to the insurer of the vehicle the sum equivalent to the Insured Declared Value of the vehicle as mentioned in the policy document itself and that sum being 2,90,000/- in our view forum below rightly directed appellant/Insurance company to pay that much amount to respondent/org.complainant looking to the amount spent by him towards repairs of the vehicle involved in the accident.  In the circumstances, we are of the view that the forum below rightly decided the complaint in favour of the respondent/org.complainant and we are finding no substance in the appeal.  Hence the order:-

                                                ORDER

Appeal stands dismissed confirming the judgement and award passed by the District Consumer Disputes Redressal Forum, Solapur in consumer complaint no.219/2009 dated 12/11/2009.

Parties are left to bear their own costs.

Copies of the order be furnished to the parties.