Date of Filing:03.12.2009<br /> Date of Order: 06.08.2010<br /> <br /> 2<br /> <br /> BEFORE THE II ADDITIONAL DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, SESHADRIPURAM BANGALORE-20<br /> <br /> Dated: 06TH DAY OF AUGUST 2010<br /> <br /> PRESENT<br /> <br /> <br /> <br /> Sri S.S. NAGARALE, B.A, LL.B. (SPL.), President.<br /> Smt. D. LEELAVATHI, M.A.LL.B, Member.<br /> Sri BALAKRISHNA. V. MASALI, B.A, LL.B. (SPL.), Member.<br /> COMPLAINT NO: 2848 OF 2009<br /> <br /> H.M. Gopala Reddy<br /> S/o. M. Muni Reddy<br /> R/at Kantharaja Building<br /> 4th Cross, Anekal Main Road<br /> Chandapura, Anekal Taluk<br /> Bangalore District Complainant<br /> V/S<br /> The New India Assurance Co. Ltd.<br /> No. 52, 1st Floor, Vinay Complex<br /> Opp. National College, Basavanagudi<br /> Bangalore 560 004 Opposite Party<br /> <br /> ORDER<br /> By the President Sri S.S. Nagarale<br /> <br /> This is a complaint filed under Section 12 of the Consumer Protection Act.<br /> The facts of the case are that complainant is the registered owner of Maxi Cab bearing Registration No. KA 03 A 847. The vehicle was insured with opposite party. On 19.05.2006 the vehicle met with accident and 5 inmates of the vehicle died in the accident. The public had set fire to the vehicle. Entire vehicle was burnt. Complainant made claim with the opposite party and submitted application. Claim was disallowed by letter dated 08.12.2008. The policy was valid on the date of accident. The risk of burning the vehicle by public is covered under the policy. Opposite party is liable to pay the compensation. The complainant is entitled for Rs. 1,80,000/- as compensation from the opposite party.<br /> 2. The opposite party has filed defence version admitting that vehicle was insured with them and the effective date of policy was from 28.07.2005 to 27.07.2006. It is denied that opposite party unjustly declined the compensation. The complainant given intimation to opposite party after 20 days of date of accident. The declared value of the vehicle was Rs. 1,80,000/- only being the vehicle is of 1997 model. The surveyor has assessed liability both under ‘total loss’ basis at Rs. 1,39,000/- and on ‘salvage loss’ at Rs. 84,000/-. Under the said circumstances the option left to the complainant either to choose the total loss or salvage loss settlement. The opposite party submitted that complainant had agreed to retain the salvage with him for sum of Rs. 95,000/- and will furnish consent letter to the opposite party. The opposite party denied that vehicle was burnt by public and complainant has suffered damages. The driver of the vehicle was possessing LMV DL with badge valid from 07.03.2006 to 06.03.2009. Driver had no DL to drive Maxi Cab. The complainant submitted consent letter on 29.09.2008 agreeing / accepting settlement for Rs. 85,000/- being the salvage loss settlement. Therefore, the opposite party has prayed to dismiss the complaint.<br /> 3. Respective parties have filed affidavit evidence and documents.<br /> 4. The points for consideration are:<br /> 1. Whether the complainant has proved deficiency of service on the part of opposite party?<br /> 2. Whether the complainant is entitled for the compensation? If so what is the amount?<br /> 5. It is admitted case of the parties that complainant was owner of vehicle No. KA 03 A 847 and said vehicle was insured with the opposite party. The effective date of policy period was from 28.07.2005 to mid night of 27.07.2009. The vehicle IDV was Rs. 1,80,000/-. The vehicle met with accident on 19.05.2006 at 7 a.m. on account of unforeseen failure of break system. Some inmates of the vehicle died. The public set fire to vehicle and vehicle was burnt. The complainant put up claim before opposite party. The claim has been repudiated by opposite party by letter dated 09.12.2008. As per the opposite party defence the complainant has made 20 days delay to intimating the accident. This delay of 20 days is not abnormal delay. As per the terms and conditions notice shall be given to the company immediately on occurrence of accident or loss or damage. As per condition of policy no specific days are mentioned for giving information. Therefore, making delay of 20 days of informing accident is not fatal. The second defence taken by the opposite party is that driver of the vehicle was holding LMV DL with Badge NO. 11222 valid from 07.03.2006 to 06.03.2009. So as per the defence it is clear that driver was holding driving license with badge. The vehicle in question was Maxi Cab. Therefore, person holding LMV license with badge is competent to drive maxi cab. Therefore, there is no violation of DL clause. Therefore, this defence will not be available to the opposite party. The opposite party has appointed surveyor and loss assessor. He has submitted survey report on 08.07.2008 after spot inspection and given a very detailed report and recommended for payment of Rs. 84,000/- as insurers liability and he has also recommended the liability on salvage loss basis is less and reasonable and claim may be settled on salvage loss basis. Surveyor also stated in his report that insured had agreed to retain the salvage with him for a sum of Rs. 95,000/-. It is also the case of the opposite party that the complainant had given consent letter for accepting the claim as per the surveyor report and on salvage loss basis. So in view of the report of surveyor and loss assessor liability of the opposite party would be Rs. 84,000/-. The opposite party should have paid the amount to the complainant as per the surveyor and loss assessor report. But instead of paying the amount as per the surveyor’s recommendation and assessment the opposite party unfortunately repudiated the claim without any valid reasons. Therefore, it is a fit case to allow the complaint and direct the opposite party to pay Rs. 84,000/- as per the surveyor report only on the salvage loss basis. In the result I proceed to pass the following:<br /> ORDER<br /> 6. The complaint is partly allowed. The opposite party is directed to pay Rs. 84,000/- to the complainant within 60 days from the date of this order. In the event of non-compliance of the order within 60 days the above amount carries interest at 9% p.a. from the date of complaint till payment / realisation.<br /> 7. Send the copy of this Order to both the parties free of costs immediately. <br /> 8. Pronounced in the Open Forum on this 06TH DAY OF AUGUST 2010. <br /> Order accordingly,<br /> <br /> PRESIDENT<br /> We concur the above findings.<br /> <br /> MEMBER MEMBER<br />