New India Assurance Company Ltd. vs G.P.MALHOTRA

THIS is opposite party''s petition against the order of the State Commission upholding the order of the District Forum.

COMPLAINANT-respondent owned a Premier Padmini car of 1990 model which was insured with the petitioner-insurer for Rs. 1,17,500/-. During the currency of the insurance policy the car met with an accident. It fell into gorge. Respondent suffered injuries and also other occupants of the car. He lodged his insurance claim with the petitioner-Insurance Company for the insured amount. A Surveyor was appointed by the petitioner who assessed the value of damage at Rs. 25,000/-. This was not agreeable to the respondent. It was submitted before the District Forum that the market value of the car in 1998 could not be more than Rs. 25,000/- taking the case to be a total loss of the car. District Forum disagreed and directed that the amount of Rs. 1,17,500/- be paid to the respondent with interest @ 15% per annum from 10.2.1999, cost of Rs. 1,000/- was also awarded to the respondent. Aggrieved, petitioner filed appeal before the State Commission. It was held that there was no evidence led by the petitioner that the market value of the car could be Rs. 25,000/- particularly when Insurance Company itself insured the car for Rs. 1,17,500/- and was charging premium on that basis. State Commission, however, while upholding the order of the District Forum reduced the rate of interest to 12% per annum and also from the date 19.8.1999 instead as that ordered by the District Forum. There is thus concurrent finding. There is no error of jurisdiction otherwise for us to interfere with the order of the State Commission under Clause (b) of Section 21 of the Consumer Protection Act, 1986. This revision petition is dismissed. Revision Petition dismissed.