BEFORE THE DISTRICT CONSUMER DISPUTES

REDRESSAL FORUM, JALANDHAR.

Complaint No.314 of 2018

      Date of Instt. 06.08.2018

      Date of Decision:22.12.2020

Pavitar Singh Sidhu aged about 51 years S/o Shri Mohan Singh Sidhu, R/o House No.97-A, Tower Enclave, Phase-1, Jalandhar, Punjab.

..........Complainant

Versus

1.       The Oriental Insurance Company, Through its Principal           Officer/CMD, Oriental House, A-25/7, Asif Ali Road, New Delhi-110002

2.       Branch Manager, The Oriental Insurance Company, Branch     Office I, 32-G.T. road, Opposite Narendra Cinema, Jalandhar         Punjab.

….….. Opposite Parties

Complaint Under the Consumer Protection Act.

Before:        Sh. Kuljit Singh             (President)

Smt. Jyotsna                   (Member)

Present:       Sh. Sanjeev Sharma, Adv. Counsel for the Complainant.

                   Sh. A. K. Arora, Adv. Counsel for the OPs.

Order

Kuljit Singh (President)

1.                The instant complaint has been filed by the complainant, wherein alleged that the complainant is the registered owner of vehicle Vento Car bearing registration No.PB-08-BV-9797 and the said vehicle was insured with Oriental Insurance Company Limited on 19.05.2016, vide cover note No.004639 with IDB Value Rs.4,60,000/-. That unfortunately on the intervening night of 18/19.03.2017, the said vehicle met with an accident resulting into heavy damage to the car. The concerned officials of Insurance Company were informed and spot inspection was carried out on 19.03.2017 by the persons deputed by Insurance Company. Thereafter, in order to avoid further loss to the car and apprehending theft of parts, accessories at the place of accident, the damaged vehicle was toe down to the painting house, Jalandhar at the expenses of the complainant after informing the officials deputed by the Insurance Company. The claim form was lodged with the Insurance Company alongwith estimated repair charges. The total loss of the vehicle was estimated to Rs.6,60,000/-. The Insurance Company also deputed Rajesh Khanna as surveyor to assess the loss and prepare estimate of repair charges. That due to heavy charges, which came upto to more than 100% of the IDV value of the car, it was not viable like a prudent man to go for such heavy repair charges and accordingly, the complainant requested you and the surveyor concerned to finalize the claim on total loss basis. That as agreed upon and as per mail by Rajesh Khanna, surveyor and loss assessor being representative of OPs, consent letter for claim of Rs.1,50,000/- was also obtained by the OPs. Thereafter, the complainant met OP’s officials by and again regarding his claim, but all in vain. The complainant also mailed letters to the Insurance Company. That a letter dated 05.05.2017 was received by the complainant from Rajesh Khanna, Surveyor and Loss Assessor deputed by the company/OP. The letter was replied vide reply dated 11.05.2017. Thereafter, the complainant was made to appear that it was the case of total loss of the vehicle. The complainant has requested the officials of OPs, to provide him the estimates got prepared by the Insurance Company through any authorized service station of the vehicle, but all in vain. The complainant was informed that the claim of the complainant is in progress and the same has been cleared by the OP No.2, as a total loss. That shockingly a letter dated 25.01.2018 was received by the complainant from the office of Senior Branch Manager, the Oriental Insurance Company Ltd., Jalandhar wherein it was stated that the competent authority has denied settlement of claim on cash loss basis. The complainant was advised to get the vehicle prepared under the supervision of deputed Surveyor Rajesh Khanna within 30 days. That the letter dated 25.01.2018 denying the claim of complainant is absolutely unreasonable and unjustified in view of the huge loss suffered by the complainant and it is a case of total loss. During the inspection, the complainant was informed by the Surveyor that the Chassis of the vehicle would be reconstructed by welding the scrap material to build a new Chassis and shell of the vehicle, which is absolutely unacceptable to the complainant keeping in view the present safety norms of the vehicle. That the complainant has already made an offer to the Insurance Company officials that they can dispose of the vehicle as salvage and the salvage amount may also be settled alongwith the balance claim amount so that the complainant can purchase a new vehicle instead of keeping a damaged vehicle. In this regard a written request was also made to settle the claim at lump sum amount of Rs.3,00,000/- on net salvage basis which included insurance liability plus vehicle wreckage value. That the complainant was in dire need of vehicle being professional as such, having no response from OPs part the complainant disposed off salvage at Rs.1,50,000/-. That the act and conduct of the OPs amounts to gross deficiency and negligence in service besides unfair trade practice on the part of the insurance company and the complainant claims a sum of Rs.3,10,000/- as claim amount from the Ops and the OPs are liable to pay the same in view of the total loss of the vehicle. That a legal notice has already served upon the OPs, but all in vain and as such, the present complaint filed with the prayer that the complaint of the complainant may be accepted and OPs be directed to pay total sum of Rs.3,55,000/- (i.e. a sum of Rs.3,10,000/- as claim amount/values of insured vehicle and compensation/damages to the tune of Rs.30,000/- and Rs.15,000/- as litigation expenses).

2.                Notice of the complaint was given to the OPs and accordingly, OPs No.1 & 2 appeared through its counsel and filed written reply, whereby contested the complaint by taking preliminary objections that there is no deficiency in service, unfair trade practice on the part of the answering OPs and that being so, the present complaint filed by the complainant is liable to be dismissed. It is further alleged that the complainant is stopped by his own act and conduct from filing the present complaint and claiming Rs.3,10,000/- being the claim amount/value of the insured vehicle from the OPs, especially in view of the fact that he has written letter dated 10.08.2017 to the company that he was ready to accept a sum of Rs.1,50,000/- as full and final settlement excluding the value of the damaged vehicle which would be retained by the complainant. The real facts are that immediately on the receipt of information qua the loss caused to the vehicle bearing Registration No.PB08BV9797 owned by the complainant, insured with the company, Sh. Rajesh Khanna Surveyor and Loss Assessor was appointed as Surveyor to assess the loss in respect of the vehicle in question. The said surveyor submitted his provisional survey report dated 20.06.2017 with the OP vide which he has recommended the settlement of claim on cash loss basis to the tune of Rs.1,48,000 after deducting Rs.2000/- on account of excess clause. On merits, it is admitted that the vehicle was insured with the Insurance Company, but the other allegations as made in the complaint are categorically denied and lastly submitted that the complaint of the complainant is without merits, the same may be dismissed.

3.                Rejoinder filed by the complainant, whereby reasserted the entire facts as alleged in the complaint and denied those of the written statement.

4.                In order to prove their respective versions, both the parties produced on the file their respective documents.

5.                We have heard the learned counsel for the respective parties and have also gone through the case file very carefully.

6.                In nutshell, the case of the complainant is only that the complainant is the owner of the Vento Car and the same was insured with Oriental Insurance Company Limited on 19.05.2016 with IDB Value of Rs.4,60,000/-. That unfortunately, on the intervening night of 18/19.03.2017, the said vehicle met with an accident and thereafter claim was lodged with the Insurance Company alongwith estimated charges. The total loss of the vehicle was estimated to Rs.6,60,000/- and the insurance company deputed Rajesh Khanna as Surveyor to assess the loss. In his evidence, complainant produced on the file his Aadhar Card Ex.C-1, Copy of Driving Licence Ex.C-2, Copy of RC Ex.C-3, Copy of Renewal Notice Ex.C-4, Copy of Estimate Ex.C-5, Copy of letter Ex.C-6, Copy of Surveyor report Ex.C-7, Copy of letter dated 11.05.2017 Ex.C-8, Copy of Receipts Ex.C-9 and Ex.C-10, Copy of Email Ex.C-11, Ex.C12 Consent Letter and other documents.

7.                On the other hand, in his reply OPs stated that the complainant was ready to accept a sum of Rs.1,50,000/- as full and final settlement excluding the value of the damaged vehicle, which would be retained by the complainant. The complainant is himself admitting in Para No.4 of the complaint that he has given his consent for claim for a sum of Rs.1,50,000/- and further in Para No.10 of the complaint, the complainant is admitting that he has disposed off the salvage of the vehicle. In his evidence, the OP brought on the file some documents Ex.O-1 Policy of insurance alongwith its clauses, Provisional Survey Report dated 20.06.2017 of Sh. Rajesh Khanna Surveyor is Ex.O-2, Second opinion of M/s M. L. Mehta & Company dated 16.08.2017 is Ex.O-3, Consent Letter of the insured is Ex.O-4, Copy of email dated 17.01.2018 for denial of claim on cash loss basis by the competent authority is Ex.O-5 and Ex.O-6.

8.                After considering the overall facts, it is clear that in Para No.10 of the complaint, the complainant himself admitted that he was in dire need of vehicle being professional as such, having no response from OPs part, the complainant disposed off salvage at Rs.1,50,000/- and also admitted in Para No.4 of the complaint that he has given his consent for claim for a sum of Rs.1,50,000/-. Furthermore, one document Ex.C-7 i.e. Surveyor report dated 05.05.2017 is more important in which some documents demanded by OP from the complainant, which are as under:-

          1.       Provide police report/DDR/FIR if lodged.

          2.       Provide us details of persons travelling in the vehicle at the                time of loss and injuries received if any.

          3.       Provide us details of injuries to TP involved if any.

          4.       Provide us recovery receipt if available.

          5.       Repairer invoice after repair.

                    In reply to this letter, the complainant brought on the file document dated 11.05.2017 Ex.C-8. In this complaint, the complainant already received salvage value of the vehicle Rs.1,50,000/- as full and final and this fact is admitted in his complaint and also he admitted this fact in consent letter. The complainant also not lodged any police complaint regarding this accident and also not provide any receipt regarding toe of the vehicle and also not disclosed any injury at the time of accident and as such, we came to conclusion that the claim of the complainant already settled and nothing is due towards the OP, therefore the complaint of the complainant is without merits and the same is dismissed with no order of cost. Parties will bear their own costs. This complaint could not be decided within stipulated time frame due to rush of work.  

9.                Copies of the order be supplied to the parties free of cost, as per Rules. File be indexed and consigned to the record room.

Dated                                       Jyotsna                           Kuljit Singh

22.12.2020                              Member                          President