Complaint No. : 365/2009 Filed on : 25/05/2009 Decided on : 01/07/2010 Duration : 01 year 01 months 06 days BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM COLLECTOR OFFICE, ROOM NO. 214, IIND FLOOR, THANE) Mr. V.Lawrence Dias, R/at 1st floor, Homage Bhavan, Bhabola Naka, VasalRD(W) Dist - Thane. ..Complainant V/s. The New India Assurance Company Lts., Nikunj Signature, 3rd Floor, above Corporatio Bank, Ambadi Rd., Manav Mandir, Vasai(W), Dist - Thane. ..Opponent
CORUM : HON'BLE PRESIDENT : SAU. SHASHIKALA S. PATIL HON'BLE MEMBER : MRS.BHAVANA PISAL HON'BLE MEMBER : MR. P. N. SHIRSAT Complainant through Adv.P.V.Satam Opposite Party through Adv.Miss.K.V.Patil J U D G E M E N T (1st July 2010) HON'BLE MEMBER : MR. P. N. SHIRSAT 1. This complaint is filed as per section 12 Under Consumer Protection Act 1986 and the brief facts of the complaint are narrated as under:- That the Opponent is carrying on the General Insurance business and is registered under the Companies Act 1956. The Complainant has taken package Insurance for his Vehicle (SKODAOCTIVIA) no.MH-04-CB-6177 since 31st July 2004 and the effective date of the commencement of Insurance is from 27/08/2007 to 26/08/2008 and the policy no. is 140500/31/07/01/00005450. The Complainant has paid Rs.17,742/- towards insurance premium. On dt. 24/02/2008 while the Complainant was driving on right lane from Silvasa to Mumbai by Mumbai Ahmedabad Highway, suddenly a truck from left lane came in the right lane without giving any signal to the Complainants vehicle dashed the vehicle and pushed the same from road and came on divider and dashed again causing heavy damage to the vehicle. The said vehicle was taken for repairs to M/s. Nummer Eins Motors (India) Pvt., Ltd., and the said company has issued 2 separate bills for the said repair dt.10/04/2008 for the amount of Rs.1,03,444/- and another bill dt.20/05/2008 for the amount of Rs.3,29,520/- totalling Rs.4,32,964/-. The Complainant has paid the same amount of Rs.4,32,964/- by cheque no. 007216 dt.22/05/2008.
.. 2 .. The Complainant has filed the insurance claim with the Opponent alongwith all the necessary details on dt.26/03/2008. Thereafter the Complainant wrote letter dt.11/09/2008 to the Opponent stating that the amount of Rs.4,32,964/- has been paid to M/s. Nummer Eins Motors(India) Pvt., Ltd., The Opponent has sent settlement intimaiton letter dt.11/09/2008 for Rs.1,13,000/- to the Complainant. However the Complainant has refused the same vide his letter dt.26/09/2008. Being aggrieved and dissatisfied for non settlement of the entire claim of the Complainant, who has filed this complaint stating therein that the cause of action took place on dt.11/09/2008 and cause of place is Vasai, District - Thane. Therefore this Forum has territorial and well as pecuniary jurisdiction to entertain and decide this complaint. The prayer of the complainant is as follows:- 1.Opposite party to pay Rs.3,24,720/- i.e 70% of the total bill amount paid to M/s. Nummer Eins(India) Pvt., Ltd. Alongwith 18% interest pa w.e.f 11/09/2008. 2.Opposite party to pay Rs.50,000/- to the Complainat towards mental harassment. 3.Cost of the complaint be paid. 4.Any other relief which may deem fit and proper.
2. The Forum has issued notice to the Opponent vide Exhibit no.4. The Opponent filed written statement vide Exhibit no.5 affidavit vide Exhibit no. 6 and vakalatnama vide Exhibit no.7. The Complainant has filed application vide Exhibit no.8 for filing rejoinder, affidavit and written argument.The Opponent has filed application vide Exhibit no.9, 10 for filing documents and filed documents vide Exhibit no.11. The Complainant has filed documents vide Exhibit no.12 and filed rejoinder vider Exhibit no.13 and filed written arguments vide Exhibit no.14. The Complainant has filed reply to the application of the Opponent vide Exhibit no.15 and 16 for filing documents. The contention of the written statement of the Opponent are as follows:- The Opponent denies the complaint in toto. This complaint is false frivolous and vexatious and bad in law. No cause arisen to file the complaint. Complaint is filed to extract more money from the Opponent. The Complaint is filed to pressurise the Opponent to settle the claim under compulsion for which the Complainant is not entitled for. The Opponent agrees for issuance of private car package policy bearing no.140500/31/07/01/00005450 in respect of the vehicle no. MH-04-CB-6177 for the period from 27/08/2007 to 26/08/2008. The Opponent has assessed .. 3 .. the claim of the Complainant as per policy terms and conditions but the Complainant is refussing to accept the same claim of Rs.1,13,000/-. Therefore the Opponent has not committed any deficieny in service. The Opponent denies the prayer of the Complainant of Rs.3,24,720/-. The Opponent prays for the dismissal of the complaint and cost may be awarded to the Opponent.
3. The Complainant has filed documents like invoice dt.10/04/2008 and dt.20/05/2008 receipt dt.22/05/2008 letter dt.26/03/2008 dt.11/09/2008, dt.26/09/2008 and dt.05/11/2008 alongwith rejoinder, affidavit and written arguments. The Opponent has also filed written statement, affidavit and documents on record. We have carefully perused and scrutinised the submissions of both the parties. In this complaint the following 2 questions arises for our consideration which are as under:- A) Whether the Opponent is guilty of deficiency and negligency in service to the Complainant? Answer – Yes. B) Whether the Complainant is entitled for compensation on account of mental harassment? Answer Yes. We answer the above question in the affirmative for the following reasons:- REASONS A.Explanation: It is abundantly crystal clear from the complaint and duly admitted in the written statement of the Opponent that the Complainant was provided package Insurance Policy no.140500/31/07/01/00005450 for the vehicle no. MH-04-CB-6177 and effective date of Insurance is 27/08/2007 to 26/08/2008. The Complainant has already paid Insurance Premium of Rs.17,742/- to the Opponent. Therefore there is a “Privity of Contract” and also monetary consideration between the parties. On dt.24/03/2008 while the Complainant was driving his car from Silvasa to Mumbai by Mumbai Ahmedabad Highway suddenly a truck came from left side of the Complainant and dashed the vehicle and pushed the same on road and came on divider and dashed again causing heavy damage to the vehicle of the Complainant. The Complainant has repaired the vehicle from M/s. Nummer Eins Motors (India) Pvt., Ltd., and the said company has raised 2 separate bills one for Rs.1,03,444 on dt.10/04/2008 and another bill was for Rs.3,29,520/- on dt.20/05/2008 totalling Rs.4,32,964/-. The Complainant has paid the same amount vide cheque no. 007216 dt.22/05/2008. The Complainant has filed the claim of insurance to the Opponent alongwith all the necessary details on dt.26/03/2008 and reminder .. 4 .. on dt.11/09/2008. The Opponent has appointed Mr.H.R.Shah and Co., as surveyors who has assessed the loss for Rs.1,13,000/- as per 1st page of the report, but ommitted the 2nd page of the report for Rs.14.750.35. The Complainant has refused to accept the Insurance claim. The Opponent has appointed another Mr.A.R.Momin as motor surveyor. Mr.A.R.Momins report of dt.26/05/2008 states as under: “I have reinspected the above referred vehicle on above mentioned place and date to the best of my knowledge and ability the vehicle was found repaired satisfactorily and replacement of parts is as per the survey report”. 2nd surveyor has not stated any financial implication. The Opponent has appointed Mr. H.R.Shah and Co., as surveyors who has assessed the loss of Rs.1,13,000/- but not included 2nd page of report of Rs.24,750.35 amounts to deficiency in service. Hence as per survey report the Complainat is entitled to get Rs.1,13,000/- + Rs.24,750.35 = 1,37,750.35. Secondly when 1st surveyors report is not executed then what is the purpose of appointment of 2nd surveyor who has not stated any financial assessment. It also amounts to negligency as well as deficiency in service. B.Explanation:- The Complainant has incurred Rs.4,32,964/- for reparing his vehicle from M/s. Nummer Eins Motors (India) Pvt., Ltd., and the same amount has been paid vide cheque no.007216 dt.22/05/2008. The Complainant has filed the claim with all necessary papers to the Opponent for settlement but the Opponent has sent assessment letter dt.11/09/2008 for Rs.1,13,000/- which the Complainant has refused to accept. The Complainant felt aggrieved for less assessment of the amount. Therefore he suffered mental harassment/agony. The Opponent did not follow the principle of UTMOST GOOD FAITH” and the guidliness issued by IRDA from time to time. The Complainant has filed many legal citation in support of his complaint. Out of that this citaiton is worth noting:- I(1991) CPJ3 National Consumer Disputes Redressal Commission, New Delhi in Shri. Umedilal Aggarwal u/s. United India Insurance Co., Ltd., in First appeal no.3 and 4 of 1989. Decided on 28/07/1989:- 1.Consumer Protection Act 1986 – Section 2(1)(g) – whether a fault or negligence in regard to settlement of an Insurance claim constitutes a “deficiency” in service within the meaning of the Act? - Yes. With this view we pass the following final order.
.. 5 .. O R D E R 1.Complaint no.365/2009 is partly allowed. 2.The Opponent to pay Rs.1,37,750/- (Rs. One lakhs Thirty Seven Thousand Seven Hundred Fifty Only) to the Complainant alongwith 9% interest p.a w.e.f 11/09/2008 till its final recovery. 3.Opponent to pay Rs.25,000/-(Rs.Twenty Five Thousand Only) to the Complainant on account of mental harassment/Agony. 4.Opponent to pay Rs.10,000/-(Rs.Ten Thousand Only) to the Complainant towards cost of complaint. 5.Opponent to follow this order within 30 days from the receipt of this order or else additional penal interest @ 3% p.a shall be payable from passing of this order. 6.Certified copies be furnished to the parties free of charges.
DATE : 01/07/2010 THANE
(SAU. SHASHIKALA S. PATIL) PRESIDENT
(MR. P. N. SHIRSAT) (MRS.BHAVANA PISAL) MEMBER MEMBER | 
