Surveyor's Report Can Only Be Rejected On Valid Grounds: NCDRC
4 weeks ago

Surveyor's Report Can Only Be Rejected On Valid Grounds: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by Mr. Subhash Chandra and AVM J. Rajendra in an appeal against United India Insurance held that a surveyor's report is mandatory for insurance claims and it can only be rejected on reasonable grounds. The surveyor found 46.667% under-insurance for the building and stated machinery and potato stocks were not covered under the Fire Policy. Observations by the National Commission The National Commission observed that from the foregoing, it is clear that the complainant's claim was evaluated based on the surveyor's report and the scope of the three insurance policies. The Commission highlighted that the complainant's reliance on Pradeep Kumar 7 SCC 787 and the argument that policy terms were not disclosed were found baseless.

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History of this topic

Delay In Settling Insurance Claim: NCDRC Holds Oriental Insurance Liable For Deficiency In Service
1 week, 1 day ago

Delay In Settling Insurance Claim: NCDRC Holds Oriental Insurance Liable For Deficiency In Service

Live Law  

The National Consumer Disputes Redressal Commission, presided by Mr. Subhash Chandra and Dr. Sadhna Shanker held Oriental Insurance liable for deficiency in service over wrongful repudiation and delay in settling the insurance claim amount. Brief Facts of the Case The complainant insured their ferro alloy production unit with Oriental Insurance under a Standard Fire and Special Perils Policy, covering material …

Surveyor's Report Can Only Be Rejected Only On Valid Grounds: NCDRC
3 weeks, 1 day ago

Surveyor's Report Can Only Be Rejected Only On Valid Grounds: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by Mr. Subhash Chandra and AVM J. Rajendra in an appeal against United India Insurance held that a surveyor's report is mandatory for insurance claims and it can only be rejected on reasonable grounds. The surveyor found 46.667% under-insurance for the building and stated machinery and potato stocks were not covered under the …

Violations Must Constitute Fundamental Breach To Deny Insurance Claim: NCDRC Holds Bharti General Insurance Liable For Deficiency In Service
4 weeks ago

Violations Must Constitute Fundamental Breach To Deny Insurance Claim: NCDRC Holds Bharti General Insurance Liable For Deficiency In Service

Live Law  

The National Consumer Disputes Redressal Commission, presided by AVM J. Rajendra held that for an insurer to deny a legitimate claim, the violations alleged by them have to constitute a fundamental breach. Observations by the National Commission The National Commission observed that the central issue in this case was whether leaving the key in the vehicle was a fundamental breach …

Additional Claims Cannot Be Made Once The Claim Is Accepted Unconditionally: Uttarakhand State Commission Allows Insurance Company's Appeal
1 month ago

Additional Claims Cannot Be Made Once The Claim Is Accepted Unconditionally: Uttarakhand State Commission Allows Insurance Company's Appeal

Live Law  

The Uttarakhand State Consumer Disputes Redressal Commission bench of Ms. Kumkum Rani and Mr. B.S. Being aggrieved, the Complainant filed a complaint before the District Consumer Disputes Redressal Commission, Haridwar against the insurance company. Contentions of Reliance General Insurance Co. Ltd: The Appellant contended complainant was engaged in commercial activity and was not entitled to any compensation from the insurance …

Denial Of Insurance Claim Is Justified In Case Of Breach Of Insurance Contract By The Insured Person: Delhi State Commission
1 month, 1 week ago

Denial Of Insurance Claim Is Justified In Case Of Breach Of Insurance Contract By The Insured Person: Delhi State Commission

Live Law  

Delhi State Consumer Disputes Redressal Commission ruled that denial of insurance claim by “United India Assurance Co. ltd.” is valid where the insured person violates the terms of insurance policy. A coram of President Sangita Dhingra Sehgal and Judicial member Pinki held that non-submission of requisite and essential documents,as per the terms of policy, by the Complainant for due assessment …

Anantapur District Commission Holds Shriram General Insurance Co. Liable For Wrongful Repudiation Of Valid Claim
1 month, 1 week ago

Anantapur District Commission Holds Shriram General Insurance Co. Liable For Wrongful Repudiation Of Valid Claim

Live Law  

The District Consumer Disputes Redressal Commission, Anantapur bench of Smt. D. Grace Mary and Sir B. Gopinath held 'Shriram General Insurance Company Limited' liable for deficiency in service for its failure to settle a valid claim amount assessed under IRDA approved survey findings. Observations of the Commission: The District Commission observed that the Insurance Company had appointed an IRDA-approved surveyor …

Terms Of Insurance Contracts Should Be Strictly Interpreted: NCDRC
3 months, 1 week ago

Terms Of Insurance Contracts Should Be Strictly Interpreted: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by Mr. Subhash Chandra and Dr. Sadhna Shanker, dismissed an appeal against National Insurance Company and held that insurance contract terms must be strictly interpreted, with precise adherence to their explicit wording and no alterations made. Contentions of the Insurer The insurer contended that the complainants secured a home loan to purchase the …

Inundation In Insurance Policies Include Act Of Flooding As Well As Its Consequences: NCDRC
3 months, 2 weeks ago

Inundation In Insurance Policies Include Act Of Flooding As Well As Its Consequences: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by AVM J. Rajendra, held National Insurance Company liable for deficiency in service due to denial of insurance claim stating that inundation resulting from excessive rainfall does not fall within the flood policy's coverage. Brief Facts of the Case The complainant purchased a Standard Fire and Special Perils insurance policy from the insurer, …

Any Fact Affecting Insurer's Decision Is Material, Failure To Disclose Allows Policy Rejection: NCDRC
4 months, 3 weeks ago

Any Fact Affecting Insurer's Decision Is Material, Failure To Disclose Allows Policy Rejection: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by Mr. Subhash Chandra and Dr. Sadhna Shanker, held that any fact that could impact a prudent insurer's decision is considered material, and failing to disclose it gives the insurer the right to reject the policy. The commission agreed with the State Commission's finding that this omission was deliberate and fraudulent, citing Satwant …

Delay In Informing Insurer Of Theft Shouldn't Automatically Repudiate Insurance Claim: NCDRC
5 months ago

Delay In Informing Insurer Of Theft Shouldn't Automatically Repudiate Insurance Claim: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by AVM J. Rajendra, held National Insurance liable for deficiency in service and held that the interpretation of insurance policy terms should consider the context and the parties' intentions and mere delay in informing the insurer of theft does not automatically repudiate the insurance claim. Observations by the National Commission The National Commission …

Repudiation Of Insurance Claim Without Proper Notice Is Evasive: NCDRC
5 months ago

Repudiation Of Insurance Claim Without Proper Notice Is Evasive: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by Mr. Binoy Kumar and Justice Sudip Ahluwalia, held that denying the claim without prior notice or sharing the survey report is deceptive in nature. The insurer cited the Supreme Court's decision in Suraj Mal Ram Niwas Oil Mills Ltd. v. United India Insurance Co. Ltd., which requires a strict interpretation of insurance …

Expert Opinion Or Government Inspection Required To Substantiate Manufacturing Defect Claim: NCDRC
6 months, 1 week ago

Expert Opinion Or Government Inspection Required To Substantiate Manufacturing Defect Claim: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by AVM J. Rajendra, held that as per Section 13 of the Consumer Protection Act, an expert opinion or government inspection is required to substantiate a manufacturing defect. Observations by the National Commission The National Commission observed that the complainant purchased a Radial Drilling Machine from the manufacturer for Rs. However, no expert …

Surveyor's Report Can't Be Rejected Unless Arbitrary: NCDRC
6 months, 2 weeks ago

Surveyor's Report Can't Be Rejected Unless Arbitrary: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by Justice Ram Surat Maurya, allowed an appeal by United India Insurance and held that the surveyor's report in an insurance cannot be rejected unless proved to be arbitrary and unreasonable. Brief Facts of the Case The complainant, a poultry feed producer, stored raw and finished materials in a building insured by United …

Directly Remitting Insurance Claim Amount Without Mutual Consent Is Unfair Trade Practice: NCDRC
7 months ago

Directly Remitting Insurance Claim Amount Without Mutual Consent Is Unfair Trade Practice: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by Mr. Subhash Chandra and Dr. Sadhna Shanker, held New India Assurance liable for unfair trade practice for directly depositing the insurance claim amount into the insured's account with arbitrary deductions and without mutual consent. Contentions of the Insurer The insurer argued that the State Commission erred in disregarding the surveyor's report mandated …

Alleged Delays By Surveyor/Insurer Not Grounds To Reject Repudiation: NCDRC
7 months ago

Alleged Delays By Surveyor/Insurer Not Grounds To Reject Repudiation: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by Mr. Subhash Chandra and Dr. Sadhna Shanker, held that insurance claims cannot be rejected by the insured solely because of supposed delays by the surveyor or the insurer. The complainant took the matter to the State Commission, which dismissed the complaint, citing that the fire was caused by 'spontaneous combustion' despite reports …

Quantification In Insurance Is Mandatory Even For Inadmissible Claims: NCDRC
7 months, 1 week ago

Quantification In Insurance Is Mandatory Even For Inadmissible Claims: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by Mr. Subhash Chandra and Dr. Sadhna Shanker, held that in the insurance industry, quantifying a loss is a standard procedural step that surveyors must perform for every claim, regardless of whether that claim is ultimately deemed admissible or not. However, upon receipt of the claim, the insurer repudiated it, contending that the …

Mere Correspondence Cannot Prolong Limitation Period; Insurance Complaints Should Be Filed Within Prescribed Timeframe: NCDRC
7 months, 1 week ago

Mere Correspondence Cannot Prolong Limitation Period; Insurance Complaints Should Be Filed Within Prescribed Timeframe: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by Mr. Subhash Chandra and Dr. Sadhna Shanker, dismissed an appeal against New India Assurance and held that insurance claims have to be filed within the stipulated time and mere correspondence does not extend the limitation period. The complainant approached the State Commission, which held that although the complainant was a “consumer” under …

Insurance Contracts Are Special Contracts Based On Principle Of Full Disclosure: NCDRC
7 months, 1 week ago

Insurance Contracts Are Special Contracts Based On Principle Of Full Disclosure: NCDRC

Live Law  

The National Consumer Disputes Redressal Commission, presided by Dr. Inder Jit Singh, dismissed a revision petition against Life Corporation India and held that the proposer of an insurance policy must disclose all material facts about the risk involved and be transparent with the facts. The insurer maintained that the policy was invalid due to the false information provided and pointed …

Undervaluation Of Claim Amount, Surveyor Report Not Binding: Chandigarh District Commission Holds New India Assurance Co. Liable
8 months, 3 weeks ago

Undervaluation Of Claim Amount, Surveyor Report Not Binding: Chandigarh District Commission Holds New India Assurance Co. Liable

Live Law  

The District Consumer Disputes Redressal Commission-II, U.T. Sharma held New India Assurance Company liable for not honouring the complete claim for the insured stock which was burned down due to a fire accident. Observations by the District Commission: The District Commission noted that the appointed surveyor was provided with all necessary documentation, including a trading account indicating a stock value …

Insurance Survey Reports Do Not Hold Ultimate Authority And Can Be Disregarded If They're Arbitrary In Nature: National Consumer Commission
9 months, 3 weeks ago

Insurance Survey Reports Do Not Hold Ultimate Authority And Can Be Disregarded If They're Arbitrary In Nature: National Consumer Commission

Live Law  

The National Consumer Disputes Redressal Commission, presided by Subhash Chandra And Sadhna Shanker, held New India Assurance liable for deficiency in service due to the denial of an insurance claim over an arbitrary survey report. Contentions of the Opposite Party The insurance company argued that the complaint should be dismissed because the Zonal Manager of New India Assurance Company Limited …

Surveyor's Report Can't Be Disregarded Without Valid Reasons, Delhi State Commission Dismisses Appeal Against National Insurance Co. Ltd.
10 months ago

Surveyor's Report Can't Be Disregarded Without Valid Reasons, Delhi State Commission Dismisses Appeal Against National Insurance Co. Ltd.

Live Law  

The State Consumer Disputes Redressal Commission, Delhi bench comprising Justice Sangita Dhingra Sehgal and Pinki dismissed an appeal against the National Insurance Company Ltd. The State Commission concluded that the Insurance Company rightly repudiated the insurance claim covering burglary risk by acting upon the surveyor's report as it is. After examining these documents, the District Commission agreed with the Insurance …

NCDRC Holds United India Insurance Liable For Denial Of The Insurance Money
11 months ago

NCDRC Holds United India Insurance Liable For Denial Of The Insurance Money

Live Law  

The National Consumer Disputes Redressal Commission, presided by AVM J. Rajendra AVSM VSM, held United India Insurance liable for deficiency in service over denial of the insurance money without evidence establishing a direct connection between the insured goods and the cause of the accident. Contentions of the Complainant The complainant, a pharmaceutical manufacturer, availed a Standard Fire and Special Perils …

'NCDRC Acted As If They Were Experts' : Supreme Court Sets Aside Order Upholding Insurance Claim Repudiation
1 year, 5 months ago

'NCDRC Acted As If They Were Experts' : Supreme Court Sets Aside Order Upholding Insurance Claim Repudiation

Live Law  

The Supreme Court, while hearing an appeal challenging a National Consumer Disputes Redressal Commission decision, expressed its discontent with the NCDRC’s judgment. The Court observed: “We are aghast to find that the members, who heard the complaint, have made observations as if they were experts sitting in appeal on the reports of the Loss Assessor and the Experts….It seems to …

Insured Failed To Verify Damaged Material, Insurance Company Not Liable; NCDRC
2 years, 7 months ago

Insured Failed To Verify Damaged Material, Insurance Company Not Liable; NCDRC

Live Law  

The bench of National Commission comprising Justice C. Viswanath, Presiding Member and Ram Surat Ram Maurya, Member, has observed that, as per the insurance policy only stocks of dal and raw materials were insured but the insured has wrongly claimed loss of machinery and building also. Aggrieved by the act of insurance company the complainant filed an appeal before the …

Cannot Burden Insurer To Follow Up An Inadequate Disclosure Of Material Facts By The Insured: SC [Read Judgment]
5 years, 6 months ago

Cannot Burden Insurer To Follow Up An Inadequate Disclosure Of Material Facts By The Insured: SC [Read Judgment]

Live Law  

The Supreme Court has observed that it is duty of the insured while making the proposal to make a clear and specific disclosure of material facts and that the insurer cannot be burdened to follow up an inadequate disclosure.As per the relevant policy in this case, the details of claims lodged during the preceding three years. The Supreme Court has …

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