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Tribunals and Commissions(1996) 12 NCDRC CK 0033

FARM FRESH FOODS PRIVATE LTD. vs BRANCH MANAGER, ORIENTAL INSURANCE COMPANY LTD.

National Consumer Disputes Redressal Commission · Decided on 13 December 1996 · Citation: 1996 3 CPJ 514

HON’BLE JUDGES
P.N.Nag , I.D.Bali , Krishana Tandon J.
RESULT
Appeal accepted
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Judgment

4 paragraphs · 386 words
1.

THE challenge in this appeal is to the order of the learned District Forum, Sirmour at Nahan, dated 23.4.93, whereby the complaint of the appellant/complainant (hereinafter to be referred to as the complainant) has been dismissed.

2.

THE facts in the complaint, briefly stated, are that Truck No. HPN-241 of the complainant was damaged in an accident on 26.6.92 near Radaur, District Yamunanagar. THE insurance claim of Rs. 22,104.73 was preferred before the respondent (hereinafter to be referred to as the Insurance Company). THEre is no dispute that the truck of the complainant was insured with the Insurance Company and that the accident took place during the period when the Insurance Policy was in force. THE complaint has been dismissed by the learned District Forum on the ground that the truck was only insured for the risk of fire and theft and not for the accident. Such conclusion of the District Forum is based on the ground that the complainant has been charged premium not for the comprehensive insurance but only for the risk of theft and fire and it has heavily relied upon the affidavit of the Insurance Company. We find that the approach of the learned District Forum is wholly erroneous. The case has been determined on the affidavit of the Insurance Company exclusively but the main document which is material and relevant for determining the point of controversy between the parties as to whether the risk of accident is also covered under the policy, is the terms of the contract between the insured and the insurer, which the learned District Forum has failed to consider. The parties essentially are governed by the terms of the contract entered into by the insured with the insurer and the payment of premium is secondary and non-appreciation of this aspect of the matter has led to the error in the order of the District Forum.

In the light of what is discussed above, the appeal is accepted and the order of the learned District Forum is set aside and the District Forum is directed to consider the case afresh in accordance with the terms of the insurance policy and in accordance with the law. The parties are directed to appear before the District Forum before 6.1.97.

3.

THERE is no orders as to costs. Appeal accepted.