Home Chhattisgarh Insurance company will pay Rs 86 lakh along with interest for compensation of arson, order of consumer forum.

Insurance company will pay Rs 86 lakh along with interest for compensation of arson, order of consumer forum.

Insurance company will pay Rs 86 lakh along with interest for compensation of arson, order of consumer forum.

Raipur. Chhattisgarh State Consumer Disputes Redressal Commission has given its verdict in the complaint filed against The Oriental Insurance Company Champa branch, finding the insurance company guilty of unfair trade practice and deficiency in service. Justice Gautam Charadia ordered against the insurance company that the insurance company will pay Rs 85,71,271 to the complainant as insurance claim along with interest at the rate of 06 percent per annum from the date of complaint presentation 24.12.2019. The insurance company will pay Rs 15,000 to the complainant as litigation expenses.

In the complainant. Shri Shyam Food Products had taken insurance cover for its industrial complex located at village Banari, Naila from The Oriental Insurance Company Champa. An incident of fire took place in the said premises on 04.05.2016 due to which the complainant company suffered huge damage for which a claim was submitted before the insurance company for compensation. The insurance company immediately appointed a preliminary investigator and got the incident investigated. After this, a surveyor was appointed, through whom the final survey was conducted after the preliminary investigation. The surveyor had presented his report to the insurance company in his final survey report estimating the loss at Rs 85,71,271, but the insurance company again asked the investigator J. Bashir was appointed and asked to investigate the matter on the basis of the report and documents of the former surveyor, who presented his report raising objections on the insurance claim.

The insurance company again appointed another investigator and asked for a report, which was done by the former investigator J. Bashir's report was termed as unfair. Ultimately the insurance company hired investigator J. Acting on Bashir's report, the claim payment was refused, against which the complainant presented a complaint before the Chhattisgarh State Consumer Commission with a request to pass an order for payment of the compensation amount assessed by the surveyor. The opposite party, the insurance company, presented its stand emphasizing on the investigator's report and expressed that the investigator J. The objections pointed out by Bashir were as per the rules and insurance conditions on the basis of which it was appropriate not to pay the insurance claim and in doing so there has been no unfair trade practice or deficiency in service by the insurance company. Therefore, the complaint should be summarily dismissed.

Chhattisgarh State Consumer Commission, based on the documents presented during the hearing of the complaint, found that the preliminary investigator, the surveyor who also submitted the final survey report after the preliminary investigation. After that, investigator J. Bashir was appointed and finally another investigator was appointed by the insurance company and an investigation report was sought in the case, which was considered contrary to the guidelines of IRDA and the provisions of the Insurance Act and it was held that if the insurance company was to be informed on the report of the surveyor, If there was any objection, clarification or additional report could have been sought from the concerned surveyor on the desired points or they could have proceeded for the appointment of another surveyor by following the Insurance Act and the prescribed procedure, but by not following the prescribed procedure, a After this, they kept appointing an investigator and surveyor which was not appropriate. Whereas the final investigator appointed by the insurance company had termed the objections raised by former investigator J. Bashir as unreasonable, based on the report on which the insurance claim was rejected. The insurance company had not raised any objection regarding the compensation amount assessed in the surveyor's final report.

Click here to read news of Madhya Pradesh
Click here to read news of Uttar Pradesh
Click here to read Delhi news
Click here to read news of Punjab
Follow The Uncut For English News
Click here to read sports news
Click to read entertainment news