BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM
VAZHUTHACAUD, THIRUVANANTHAPURAM.
PRESENT
SRI. G. SIVAPRASAD : PRESIDENT
SMT. BEENAKUMARI. A : MEMBER
SMT. S.K.SREELA : MEMBER
C.C. No. 336/2006 Filed on 22.12.2006
Dated : 30.10.2010
Complainant:
Sudhi Rajan. N, Neduvila, Chenthippoor, Venkode P.O, Vattappara, Thiruvananthapuram-23.
(Appeared in person)
Opposite party :
The Manager, United India Insurance Company Ltd., Divisional Office No. I, III Floor,C.W.C Building, LMS Compound, Thiruvananthapuram-33.
(By adv. R. Jagadish Kumar)
This O.P having been heard on 31.08.2010, the Forum on 30.10.2010 delivered the following:
ORDER
SRI. G. SIVAPRASAD: PRESIDENT
The facts leading to the filing of the complaint are that complainant purchased Maruti 800 car bearing No. KL-01 W 120 from one Krishnapillai, that complainant got the vehicle transferred in his name on 16.06.2006, that the said vehicle met with an accident on 22.06.2006 at 4.30 pm at Vattappara and the same was informed to the opposite party insurance company on the date of accident itself, that as directed by the insurance company the insurance was transferred in the name of the complainant on 23.06.2006, that complainant filed a claim before the insurance company, but the same was repudiated on 17.11.2006 on the ground that complainant had no insurable interest as the policy on the date of accident stood in the name of the previous owner. Hence this complaint to direct opposite party to pay the claim amount along with compensation and costs.
Opposite party filed version contending that the complaint is not maintainable either in law or on facts, that there is no contract of insurance between this opposite party and the complainant on the date of the alleged accident and as such opposite party has no contractual or legal obligation to compensate for the damage of the vehicle, that the policy in respect of the vehicle KL-01 W 120 on the date of accident stood in the name of Krishna Pillai while the vehicle was used by the complainant, that the policy issued to the complainant starts only from 23.06.2006, that as far as own damages is concerned, the policy does not go with the vehicle, that transfer of vehicle in the name of complainant alone will not convey him any legal right. The policy will have to be in his name on the date of accident for claiming own damages. Hence opposite party prayed for dismissal of the complaint.
The points that arise for consideration are:-
Whether the complainant is entitled to get claim amount?
Whether there is deficiency in service on the part of opposite party?
Whether the complainant is entitled to compensation and costs?
In support of the complaint, complainant has filed affidavit in lieu of chief examination and has marked Exts. P1 to P16. Complainant has been cross examined by the opposite party. Opposite party has not filed affidavit or any documents.
Points (i) to (iii):- There is no point in dispute that the complainant got the vehicle transferred in his name in R.T.O Record by Ext. P1. But the insurance was in the name of the previous owner when the vehicle met with accident on 22.06.2006. Ext. P2 is the policy receipt issued by opposite party in the name of Krishna Pillai. As per Ext. P2 the collection date is 18.08.2005. Ext. P3 is the receipt (Non-premium collection) issued by opposite party in the name of complainant. As per Ext. P3 collection date is 23.06.2006, that is after the date of accident. Ext. P4 is the receipt issued by opposite party dated 23.06.2006 in the name of the complainant towards motor package policy. Ext. P5 is the receipt (Non-premium collection)dated 23.06.2006 issued by opposite party in the name of Krishna Pillai. Ext. P6 is the receipt dated 16.08.2006 issued by opposite party in the name of complainant towards motor package policy. Ext. P7 is the letter issued by Senior Divisional Manager of the opposite party to the complainant informing him about the forwarding of some documents for further action. Exts. P8 to P11 are copies of bills issued by Karthika Motors, Feroz Auto House and Wheel Tech. Ext. P12 is the copy of the advocate notice addressed to Divisional Manager, United India Insurance Company dated 13.11.2006. Exts. P13 & P14 are acknowledgement cards and postal receipts. Ext. P16 is the repudiation letter issued by opposite party dated 17.11.2006 stating that accident occurred on 22.06.2006 at 4.30 p.m whereas the insurance policy transferred in the complainant's name with effect from 23.06.2006. The insurance policy was in the name of Mr. Krishna Pillai and the vehicle was in the name of the complainant at the date and time of accident. It is to be noted that there is no point in dispute that the vehicle had been transferred in the name of the complainant at the time of accident, but policy was not transferred in his favour on the date of accident. Policy has been transferred from 26.06.2006. It is to be noted that similar matter has been examined by apex court in detail. Regarding the scope of Sec. 157 of the Motor Vehicles Act, vis-a-vis insurance liability as against 3rd party and own damages, the apex court in Complete Insulations Private Ltd. Vs. New India Assurance Company Ltd, (1996) 1 SCC 221 has laid down that the deemed transfer under Sec. 157 of the Motor Vehicles Act is restricted to third party risk and does not apply to other risk like damage caused to the vehicle of the insured himself which falls outside chapter XI of the New Act, and is in the realm of contract for which there must be an agreement between the insurer and the transferee, the former undertaking to cover the risk or damage to the vehicle. Similar matter has also been examined by the National Commission in New India Insurance Company Ltd. Vs. Chandrakant Bhujangrao Jogdand 11(2010) CPJ 170 (NC) on the basis of the Apex Court decision (Supra). In the light of the above decisions, we are of the considered opinion that the complainant is not entitled to get the claim amount as on the date of accident, insurance policy had not been transferred in favour of the complainant and it is stood in the name of the previous owner. Accordingly, the complainant had no insurable interest in the said policy. In view of the above, we find complaint has no merits at all which deserves to be dismissed.
In the result, complaint is dismissed with no order as to costs.
A copy of this order as per the statutory requirements be forwarded to the parties free of charge and thereafter the file be consigned to the record room.
Dictated to the Confidential Assistant, transcribed by her, corrected by me and pronounced in the Open Forum, this the 30th day of October 2010.
G. SIVAPRASAD,
President.
BEENAKUMARI. A : MEMBER
S.K. SREELA : MEMBER
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C.C. No. 336/2006
APPENDIX
I COMPLAINANT'S WITNESS :
PW1 - N. Sudhi Rajan
II COMPLAINANT'S DOCUMENTS :
P1 - Certificate of registration
P2 - Policy receipt issued by the opposite party in the name of
Krishna Pillai dated 18.08.2005
P3 - Receipt issued by opposite party in the name of complainant
dated 23.06.2006
P4 - Receipt issued by opposite party dated 23.06.2006 in the name
of complainant.
P5 - Receipt dated 23.06.2006 issued by opposite party in the name
of Krishna Pillai.
P6 - Receipt dated 16.08.2006 issued by the opposite party in the
name of complainant towards motor package policy.
P7 - Letter issued by Senior Divisional Manager of the opposite
party to the complainant.
P8 - Copies of bills.
P9 - Copies of bills.
P10 - Copy of bill No. 498 dated 05.07.2006.
P11 - Copy of bill dated 05.07.2006
P12 - Copy of the advocate notice addressed to Divisional Manager,
United India Insurance Company dated 13.11.2006
P13 - Acknowledgement card addressed to opposite party.
P14 - Postal receipt.
P15 - Return envelop addressed to the complainant.
P16 - Repudiation letter issued by opposite party dated 17.11.2006
stating that accident occurred on 22.06.2006
III OPPOSITE PARTY'S WITNESS :
NIL
IV OPPOSITE PARTY'S DOCUMENTS :
NIL
PRESIDENT
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