Karnataka

Chitradurga

CC/61/2015

Shri. Thippeswamy P S/o. Peddanna Boraiah - Complainant(s)

Versus

The Manager, National Insurance Co.Ltd., - Opp.Party(s)

Shri.Ashok V.

21 Dec 2015

ORDER

COMPLAINT FILED ON : 23/07/2014

     DISPOSED ON: 21/12/2015

 

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, CHITRADURGA

 

CC. NO. 61/2015 DATED: 21st December 2015

 

PRESENT :-     SRI. T.N. SREENIVASAIAH.      PRESIDENT                                     B.A., LL.B.,

                        SRI.H.RAMASWAMY,               MEMBER

                                         B.Com., LL.B.,(Spl.)

SMT.G.E.SOWBHAGYALAKSHMI,       

                                         B.A., LL.B.,                   MEMBER

COMPLAINANT	Thippeswamy. P, S/o Peddana Boraiah, Bosedevarahatti, Challakere Taluk, Chitradurga District.   (Rep by Sri. Ashok.V,  Advocate)
OPPOSITE PARTY	The Manager, National Insurance Co. Ltd., B.D. Road, Chitradurga.   (Rep by Sri. B.M. Ravichandra,  Advocate)

 

SRI. T.N.   SREENIVASAIAH.  PRESIDENT.

ORDER

 

The complainant has filed a complaint U/s 12 of C.P. Act 1986 for the direction to the OP to pay Rs.63,611/- and also damages towards mental agony and costs.

 

2.     The case of the complainant, in brief, is as under:

 

The complainant has purchased Hero Igniter Motor Cycle from Mahesh Motors, Chitradurga by paying Rs.63,611/- on 03.01.2015.  The same was insured with the OP insurance company under policy No. 39010231146203441200 for the period from 06.01.2015 to 05.01.2016 by paying premium of Rs. 1,913/- and the complainant has obtained T.P also and the said policy was in force.  He has purchased the said motor cycle by taking a loan of Rs.44,000/- with interest at the rate of 3% p.a from Chaitanya Finance  Credit Pvt. Ltd., Jagalur and also money from his relatives.  It is further stated that, on 18.01.2015 complainant parked his motor cycle in his provision store, at about 11-30 to 12-00 PM, the same was met with fire accident and completely burnt.  Due to financial crisis, complainant has not registered his motor cycle within time.  Complainant gave a complaint to the Nayakanahatti Police Station about the same and the said police registered a case in C.R.No.11/2015.  It is further stated that, complainant approached the OP and requested to settle the insurance amount of Rs.63,611/- covered under the policy by giving written complaint to the OP and also sent a legal notice on 19.06.2015 through his advocate but, the OP sent a reply repudiating the claim of the complainant without any acceptable reasons and thereby OP committed a deficiency of service on the part of the OP and on account of the negligent and deliberate acts of the OP, the complainant has suffered mental agony and financial loss.  Hence, he sought for the above relief at the hands of this Forum.

 

3.     After service of notice, the OP has entered appearance through counsel and resisted the complaint by filing objections to the complaint.  The OP has specifically denied the averments made in the complaint.  However, the OP has admitted the issuance of policy in respect of the motor cycle in question under policy No.39010231146203441200 for the period from 06.01.2015 to 05.01.2015 and the said policy covers PA to owner cum driver for an amount of Rs.1,00,000/- and covered own damage for a total value of Rs.60,431/- subject to the terms and conditions of the MV Act.  It is further stated that, the fire accident occurred on 17.01.2015 at about 10-30 PM, for that complainant intimated the same on 27.01.2015.  OP appointed a surveyor and the surveyor conducted survey and gave a final survey report on 26.05.2015 stating that, the insurers liability subject to policy of insurance works out to Rs.60,431/- and estimated sale value of the wreck/burnt vehicle on as is where is condition for Rs.1,000/- and salvage value will fetch Rs.1,100/- and insurers liability arrived at Rs.58,331/-, which is only a recommendation and acceptance of the same depends upon the other factors such as RC, DL and violation of the terms and conditions of the policy.  It is further submitted that, complainant gave a claim form along with estimation, criminal court papers, vehicle documents and also gave a letter dated 27.01.2015 calling upon the OP to settle the claim.  It is further stated that, after verification of the records came to know that, the complainant's vehicle bearing Engine No.JC59AAEGL02392 and chassis No.MBLJC59ADEGL01160 has been temporarily registered under Temporary Registration Certificate No.KA-16/TY012053/2014-15, valid up to 17.02.2015 and met with an accident on 17.01.2015, the said vehicle was purchased on 19.01.2015 and obtained temporary registration from RTO, Chitradurga on 19.01.2015 and on the date of accident, the said vehicle was not having any registration certificate, which amounts to violation of Sec.39 of IMV Act which stipulates that, no owner of a motor vehicle shall permit the vehicle to be driven in a public place unless the vehicle is registered.  It is further stated that, complainant allowed his vehicle in a public place without proper registration and he has violated Sec.39 and 43 of MV Act and also the policy terms and conditions.  Complainant intimated about the fire accident on 27.01.2015, wherein the vehicle met with fire accident on 17.01.2015 i.e., after lapse of 10 days and notice shall be given in writing to the company immediately upon the occurrence of any accidental loss or damage in the event of any claim and the insured shall give all information and assistance as the company shall require and the claim form shall be forwarded to the company immediately on receipt by the insured. It is further submitted that, at the time of fire accident, there was no registration to the motor cycle and also there is a delay of 10 days in giving claim intimation, which is violation of the terms and condition of the policy and there is no deficiency of service in repudiating the claim of the complainant and sought for dismissal of the complaint. 

 

4.     In support of his claim, the complainant and OP have filed their respective affidavit and the documents produced by the complainant are marked as Ex.A-1 to   A-8 and on behalf of OP Ex.B-1 to B-9. 

 

5.     We have heard the learned counsel appearing for the complainant and OP and we have also examined the materials available on record.

 

6.     The points that arise for our consideration are as under:

 

Point No.1:- Whether the complainant has proved deficiency of service on the part of OP and he is entitled for the relief as sought for?

Point No.3:- What order?

 

        7. Our findings on the above points are as under:

 

        Point No.1:- Affirmative.

Point No.2:- As per the final order.

::REASONS::

 

8. Point No. 1:- At the very outset, it is mentioned that, there is no dispute with regard to the vehicle in question was having valid insurance coverage as on the date of the accident.  Further, it is not in dispute about the occurrence of the accident and the vehicle was completely burnt.  It is the case of the complainant that, he is the owner of the Motor Cycle bearing Temporary Reg. No.                           KA-16/TY012053/2014-15 and the same was valid up to 17.02.2015 and the fire accident took place on 17.01.2015 and the same was insured with the OP and the policy was in force    as on the date of accident.   As per Ex.A-6, OP has issued the insurance policy for the period from 06.01.2015 to 05.01.2016.  The receipt i.e., Ex.A-1 issued by the Mahesh Motors is dated 03.01.2015, which shows the complainant purchased the vehicle on that day itself.  So, the contention taken by the OP that, the complainant has purchased the vehicle on 19.01.2015 and the fire accident took place on 17.01.2015 which cannot be accepted.  The delay in intimating the occurrence of the incident by the complainant was that, he was admitted to the hospital as he was injured in a fire accident and after discharge from the hospital he gave intimation to the OP/insurance company. 

 

9.    Subsequently, the complainant submitted his claim form to the OP by producing all the relevant documents but, the OP has not complied with the said claim.  Thereafter, the complainant has got issued legal notice to OP on 19.06.2015 calling upon them to settle the claim.  Instead of that, the OP has issued letter dated 29.06.2015 stating that, his claim is not admissible, the same was marked as Ex.A-8.   

 

 

10.  In support of his contentions,  complainant has relied on his affidavit evidence in which he has reiterated the contents of complaint.  Complainant has also riled on documents like copy of receipt issued by Mahesh Motors dated 03.01.2015 for having received the amount which marked as Ex.A-1¸ certified copy of emergency case report marked as Ex.A-2, certified copy of FIR marked as Ex.A-3, certified copy of complaint marked as Ex.A-4, affidavit issued by Fire Engine Department marked as Ex.A-5, Original insurance copy marked as Ex.A-6, Copy of legal notice marked as Ex.A-7, original reply notice marked as Ex.A-8. 

 

11.  On perusal of oral evidence of the complainant coupled with the documentary evidence, it is the case of the complainant that his motor cycle met with the accident and he submitted his claim to the OP.   Surveyor has made net assessment towards insurers liability to the tune of Rs.58,331/- but, the OP has raised flimsy ground stating that, the claim of the complainant is not admissible on the ground that, the vehicle of the complainant has no valid registration certificate as on the date of accident, which is not acceptable. 

 

 

12.  Further, OP has not stated the specific grounds as to how, the complainant has no insurable interest and the OP has not assigned proper reasons to reject the claim of the complainant. 

 

13.  In support of its contention,  OP has relied on his affidavit evidence in which it has reiterated the contents of version.  OP has also riled on documents like certified copy of policy marked as Ex.B-1¸ copy of claim intimation dated 27.01.2015 marked as Ex.B-2, certified copy of original claim form marked as Ex.B-3, certified copy of survey report marked as Ex.B-4, original copy of loss assessment made by the Surveyor marked as Ex.B-5, certified copy of survey report marked as Ex.B-6, original copy of loss assessment made by the Surveyor marked as Ex.B-7, Copy of original repudiation letter dated 02.06.2015 marked as Ex.B-8 and Postal acknowledgement marked as Ex.B-9. 

 

14.  In view of the above discussion, it is very clear from the insurance policy issued by the OP and the receipt issued by the Mahesh Motors that, the insurance was valid as on the date of accident and the vehicle was purchased on 03.01.2015 and hence, the complainant has suffered a lot by the deficiency of service by the OP.  When the policy was in force at the time of accident, the OP has no right to reject the claim of the complainant.  According to the OP, the complainant has purchased the vehicle on 19.01.2015, but as per Ex.A-6, the policy issued by the OP, the policy was commencing from 06.01.2015 to 05.01.2016, such being the case without delivering the vehicle, the issuance of the insurance policy by the OP does not arise.  So, the contention taken by the OP cannot be reasonable and accepted.  With regard to award of compensation, the Surveyor has assessed the loss to the tune of Rs.58,331/-.  Considering the facts and circumstances of the case, we are of the opinion that, it is just and reasonable to award a sum of Rs.58,331/- as compensation to the complainant.  Accordingly, we answer Point No.1 in the partly affirmative.  

 

 

        15.   Point No.2:- As discussed on the above points and for the reasons stated therein we pass the following.

 

ORDER

The complaint filed by the complainant is partly allowed.  OP is directed to pay a sum of Rs.58,331/- as compensation to the complainant together with interest at the rate of 6% p.a. from the date of complaint till realization.

 

It is further ordered that, the OP is directed to pay a sum of  Rs.5,000/- towards mental agony and Rs.2,000/- towards costs of the proceedings. 

 

Further, the OP is directed to pay the above amount to the complainant within 60 days from the date of this order. 

 

        (This order is made with the consent of Members after the correction of the draft on 21/12/2015 and it is pronounced in the open Court after our signatures.)      

MEMBER                   MEMBER                      PRESIDENT

 

 

-:ANNEXURES:-

 

Complainant by filing affidavit evidence taken as PW-1

Witness examined on behalf of complainant:

-Nil-

Witnesses examined on behalf of OP:

On behalf of OP one Sri. Malatesh C. Haller, Assistant Manager of OP as DW-1.

Witness examined on behalf of OP:

-Nil-

Documents marked on behalf of Complainant:

01	Ex-A-1:-	Copy of receipt issued by Mahesh Motors dated 03.01.2015 for having received the amount
02	Ex-A-2:-	Certified copy of emergency case report
03	Ex-A-3:-	Certified copy of FIR
04	Ex-A-4:-	Certified copy of complaint
05	Ex-A-5:-	Affidavit issued by Fire Engine Department
06	Ex-A-6:-	Original insurance copy
07	Ex.A-7:-	Copy of legal notice
08	Ex.A-8:-	Original reply notice

 

Documents marked on behalf of Opponent:

01	Ex-B-1:-	Copy of Insurance policy
02	Ex-B-2:-	Copy of claim intimation dated 27.01.2015
03	Ex-B-3:-	Certified copy of original claim form
04	Ex-B-4:-	Certified copy of survey report
05	Ex-B-5:-	Original copy of loss assessment made by the Surveyor
06	Ex-B-6:-	Certified copy of survey report
07	Ex.B-7:-	Original copy of loss assessment made by the Surveyor
08	Ex.B-8:-	Copy of original repudiation letter dated 02.06.2015
06	Ex.B-9:-	Postal acknowledgement

 

 

MEMBER                   MEMBER                      PRESIDENT

Rhr.