Chandigarh

StateCommission

A/146/2017

Sarabjeet Kaur & ors - Complainant(s)

Versus

Shriram General Insurance Co. Ltd - Opp.Party(s)

Judgepreet Singh Warring

09 Feb 2018

ORDER

Cost of Rs.1500/- has been paid to the Counsel  for the appellants.

                        Cost of Rs.1500/- has been deposited by Counsel for the respondents in the Consumer Legal Aid Account vide receipt dated 07.02.2018 placed on record.

                                Alongwith the appeal, an application for condonation of delay of 169 days as per the applicants/appellants (as per the office report 221 days), in filing the appeal, has been filed.

                        Heard.

                        For the reasons stated in the application, which is supported by a duly sworn affidavit and finding sufficient cause, the delay aforesaid is condoned.

                        The application is disposed of accordingly.

                        Admittedly, as per policy, personal accident claim of Rs.2 Lacs is payable to the appellants/legal heirs of deceased Sh. Parveen Kumar. Counsel for the appellants had submitted an affidavit dated 30.08.2017 giving detail of legal heirs and further stating that there is no other first class legal heir of the deceased Parveen Kumar except those mentioned in the said affidavit.

                        Counsel for the legal heirs/appellants, namely, Sh. Judgepreet Singh Warring, Advocate states that all the legal heirs will file an undertaking before the competent authority that in case, any claim is raised by anybody qua the personal accident claim, legal heirs shall indemnify the said claim as per law. Copy of the affidavit was supplied to the Counsel for the respondents. Counsel for the respondents is directed to forward that copy of affidavit and also copy of undertaking, which will be supplied by Counsel for the appellant to him, within 7 days from today to the authorities concerned. On receipt of above documents, the respondents i.e. Shriram General Insurance Company Limited will not insist upon production of succession certificate and release the amount of Rs.2 Lacs towards personal accident claim forthwith to the legal heirs.

                        We have heard the Counsel for the parties.

                        It is apparent on record that the accident took place on 06.12.2014. In the said accident, Sh. Parveen Kumar died. The appellants are the legal heirs of the deceased Sh. Parveen Kumar. Assessment of loss to the truck, in question, was got done. For repairs, the workshop owner raised bill to the extent of Rs.3,98,722/-. By noting that fact of accident was intimated to the Company late, the claim was repudiated. By noting that FIR was recorded on the next date of the accident as only male earning member of the family had died,  the delay caused in giving intimation to the company was justified.  As per the Surveyor, loss was assessed to the tune of   Rs.1,85,010/-. Taking note of above facts, the Forum granted following relief to the appellants:-

“13.      Hence, on the above observations, we allow the present complaint and direct Opposite Parties to release the amount of the claim as per the survey report (Annexure R-1), by which the assessment of the loss is calculated as Rs.1,85,010/-. We further saddle Opposite Parties with the consolidated amount of compensation to the tune of Rs.25,000/-, along with Rs.10,000/- as cost of litigation, within 30 days of the receipt of the copy of this order, failing which Opposite Parties shall be liable for an interest @ 12% p.a. on the entire amount that stands due against them, except for the cost of litigation.”

 

                        It is grievance of the appellants that when granting above relief, on the amount due i.e. Rs.1,85,010/-, interest was not granted.  Prayer is to grant interest and also cost of litigation incurred before this Commission.

                        We have seen the record and are satisfied that there was no justification with the respondents/Opposite Parties (Insurance Company) to reject claim filed by the appellants. Action was arbitrary. The amount due was detained without any justification. Intimation qua accident to the Company was given on 27.01.2015 i.e. with a delay of 52 days. Be that as it may, the respondents could have taken maximum two months to complete the process. Thereafter, there was no justification not to make the payment.

                        In view of above, we allow this appeal. Order dated  08.09.2016 passed by the Forum is modified only to the extent that on the amount awarded i.e. Rs.1,85,010/-, the respondents/Opposite Parties shall pay interest @8% p.a. whereof 01.04.2015 till the time of making the payment. Over and above the relief granted by the Forum and interest granted by this Commission, the respondents/Opposite Parties are directed to pay an amount of Rs.25,000/-  to the appellants towards litigation cost, which appears to have been incurred by the appellants before this Commission. Let the amount awarded be paid by the respondents/Opposite Parties to the appellants within six weeks from today, failing which, the entire awarded amount shall start carrying interest @12% p.a. from 01.04.2015 till actual payment.

                        Certified copy of this order be sent to the parties free of charge.

                                Certified copy of this order be sent to the Forum concerned for information.