Date of Filing: 22-11-2016 Date of Final Order: 03-07-2017
Sri Gurupada Mondal, President.
This is a case u/s 12 of CP Act filed by Balajit Bhowmick against National Insurance Company Ltd. claiming for insurance claim amount of Rs.33,811/-, Rs.10,000/- for mental pain and agony, Rs.10,000/- for compensation and Rs.5,000/- for litigation cost.
The case of the Complainant, in short, is that he purchased a private car being Registration No.WB-74 R 9456 with good mechanical condition and the said vehicle was registered with the Registering Authority at Siliguri and duly insured with the OP/Insurer vide Insurance Policy No.153-901/31/15/6100002883 on 25.08.15. As per Policy of the said vehicle, the same was covered with total package and the OP had given no claim bonus of 20% of the Complainant’s Policy.
It is alleged that on 11.10.15 while the driver of the Complainant was driving the vehicle and reached nearing Changrabandha, it met an accident while the driver was going to protect an old man and the vehicle knocked upon a concrete pole and it was damaged badly. Then the vehicle was taken to S.S. Automobiles, Assam More, Jalpaiguri for repairing. Thereafter, the Complainant submitted his claim alongwith his documents. The matter of accident was informed to the OP on 14.10.15.
Further case of the Complainant is that the OP by a letter dated 17.12.15 informed the Complainant that he was not entitled to get any claim from the OP, which is totally illegal and beyond rules. According to the OP, the Complainant was not entitled to get no claim bonus. It is further case of the Complainant that such type of activities of the OP was unfair Trade Practice like deficiency of service. The OP willfully had been trying to deprive the Complainant and as such Complainant has filed this case for proper relief.
The OP in order to contest this case has filed w/v denying all material allegations contending inter-alia that the instant case is not maintainable and the Complainant has not cause of action to file this case.
Specific case of the OP is that the Complainant was not a consumer and the service was not applicable to the Complainant on the ground that the Complainant took the policy by adducing false statement in the Proposal Form of Insurance of his vehicle. The OP admitted that the OP issued a private car package Insurance Policy being No.153901/31/15/6100002883 for the period from 25.08.15 to 24.08.16 against the Registration No.WB 74 R/9456 (Maruti Alto) in the name of the Complainant relying upon the proposal on good faith subject to rules and regulations.
It is further alleged that the Complainant claimed “No claim Bonus” at the time of paying the premium but the Complainant was not entitled to get “No claim Bonus” to a new insured on the first year of policy.
According to OP and as per Section 64 V.B of the Insurance Act 1938 provides that full premium on a policy of insurance is to be deposited in advance before commencement of risk by the insured and the Complainant did not pay the full premium by concealment of fact by getting 2.1 “No claim Bonus”(NCB).
Further case of the OP is that the Complainant purchased a vehicle from one Siddhartha Chatterjee, who had insurance Policy of Oriental Insurance Company Limited, Jalpaiguri Branch and at the time of obtaining the Insurance Policy, he declared that he was entitled to get “No claim Bonus” and declared that he did not lodge any claim during the preceding 03 years and 20% of NCB was allowed to the Complainant on the basis of his proposal. The Oriental Insurance Company confirmed by a letter that the previous Policy being No.313201/31/2015/3839 was issued in the name of Siddhartha Chatterjee and not in the name of the Complainant. The Complainant claimed the NCB on the basis of his false statement. On the basis of the aforesaid facts the OP/insurer repudiated the claim of the Complainant and informed it to the Complainant on 20.01.16. Accordingly, the OP prays for dismissal of this case with costs,
Considering the complaint petition and its written version, the following points are necessarily come up for consideration to reach a just decision.
POINTS FOR CONSIDERATION
- Is the Complainant Consumer as per provision under Section 2(1)(d)(ii) of the C.P. Act, 1986?
- Has this Forum jurisdiction to entertain the instant complaint?
- Have the O.Ps any deficiency in service as alleged by the Complainant?
- Whether the Complainant is entitled to get relief/reliefs as prayed for?
DECISION WITH REASONS
We have gone through the record very carefully. Heard the argument at a length as advanced by the Ld. Agents For the Complainant and the O.P. Perused the documents along with evidence on affidavit of the parties.
Point No.1
The Complainant Balajit Bhowmik purchased an Insurance Policy for his private vehicle being Regd. No.WB 74 R-9456 from the OP Insurer on payment of Rs.4110/-. Therefore, there is a transaction of seller and buyer, it relates to any goods on consideration and the Complainant paid premium against such insurance policy. Hence, we hold that the Complainant is a consumer as per provision u/s 2 (1) d of CP Act, 1986.
Point No.2
The Complainant is the resident of Mekhliganj in the district of Cooch Behar. The Office of the OP is situated within Cooch Behar town. Hence, this Forum has territorial jurisdiction to try this case.
The claim of the Complainant is of Rs.58,811/- much less than the statutory limit. Hence, this Forum has pecuniary jurisdiction to try this case. This point is also decided in favour of the Complainant.
Point No.3 & 4.
Both the points are taken up together for convenience of discussions as well as the points are related with each other.
The case of the Complainant is that he purchased a 2nd hand private car having Regd. No. WB 74 R 9456 with good mechanical condition and later said vehicle was registered with the Registering Authority at Siliguri and the said vehicle was duly insured with the OP Insurer vide Insurance Po0licy No.153901/31/15/6100002883 on 25.08.15 with total package and the Complainant was given “No Claim Bonus “of 20%. It is further alleged that on 11.10.2015, the vehicle met with on accident while the driver was going to protect an old man and then the vehicle knocked upon a concrete Pole, which was badly damaged.
Admitted fact as well as the from the documents filed by the Complainant that the vehicle being No WB 74 R 9456 was purchased by the complainant and the said vehicle was insured on 25.8.2015 and the policy was valid till the midnight of 24.08.2016. The O.P. did not deny the alleged accident took place on 11.10.2015. The complainant did not file any document before this Forum that he filed an F.I.R with the O/C of the Concerned P.S regarding the accident. As per document filed by the complainant, the vehicle was being driven by a Qualified Driver. The accident took place during the subsistence of valid Insurance policy of the vehicle. In such circumstances, the O.P./ insurer con not deny its liability to pay the compensation if other conditions are full filled.
As per O.P. / Insurer that the Complainant is not entitled to get “ No claim Bonus” in short NCB, as the complainant was the 1st insurer. As per documents as produced by the Complainant and O.P. that one Siddhartha Chatterjee was the owner of the vehicle being NO WB74 9456 and the Complainant purchased the said vehicle from Siddhartha Chatterjee and then the vehicle of the complainant was insured with the O.P/ Insurer.
Previously, the Previous owner obtained the insurer policy from Oriental Insurance Co. Ltd and as per documents filed by the O.P./ Insurer, the Previous owner Siddhartha Chatterjee was entitled to “No Claim Discount of 50%. The Insurance policy of Siddhartha Chatterjee was valid upto 19/08/2015 while Siddhartha Chatterjee was the owner of the vehicle, he did not submit any claim with his Insurer.
The Present Complainant submitted claim application with the OP/ insurer after the accident and the O.P/ Insurer repudiated his claim on the ground that the Complainant was not entitled to get any NCB and violates the policy condition NO 8. We have gone through the Proposal Form for Motor Insurance (Package policy) Issued by National Insurance Company Limited.
The Complainant is a layman. The offending vehicle was insured with Oriental Insurance Company Limited by the previous owner Siddhartha Chatterjee . There is nothing mentioned in the Proposal Form who can claim “ No claim Bonus”. The Complainant obtained the policy through agent. As there is no explanation in the Proposal Form who and how a person can claim “No claim Bonus”. Then it cannot be stated, that the complainant is not entitled to get NCB and he violates the policy condition. The term as mention in clause No 6 (x) and declaration is unilateral and the same cannot be applied to the complainant. the term “No claim Bonus” is required explain in the proposal and how the insured can obtain or entitled to get the NCB then it can be applicable to the complainant. As such it is a deficiency of service on the part of the Complainant and as such the Complainant is entitled to get award as prayed for.
Both the points are decided in favour of the complainant.
Hence,
Ordered,
That the present case being No CC/105/2016 be the and the same is allowed on contest against the O.P. with cost of Rs.1,000/-.
The O.P. is hereby directed to pay Insurance Claim amount of Rs.33,000/- and Rs.3,000/- for mental pain and agony and compensation of Rs.3,000/- to the complainant and within 45 days from this date failing which the O.P. shall pay Rs.50/-for each days delay and the amount so accumulated shall be deposited to the consumer Legal Aid Account. Cooch Behar.
Let a copy of the final order be made available and be supplied free of cost to the concerned party/Ld. Advocate by hand/Registered Post with A/D forthwith for information and necessary action as per Rules.
Dictated and corrected by me.
