ORIENTAL INSURANCE CO LTD Vs. MOHAN LAL

JUDGEMENT

(1.) THE complainant/respondent obtained an Erection All Risks Insurance Policy from the petitioner, Oriental Insurance Co. Ltd. for an insured amount of Rs. 18 lakhs. The aforesaid policy was taken on account of the complainant having been awarded a contract of providing 11 KV Feeder line from Bonli to Peepalda. Two thefts took place during subsistence of the insurance policy, one on 29.10.2007 and the other on 04.11.2007 and material such as cable, pole etc. were stolen. The matter having been reported to the Insurance Company, two surveyors were appointed to assess the loss sustained by the complainant. One of the surveyor, Mr. Amit Kumar Shrivastava, vide his report dated 18.02.2008, assessed the loss to the complainant at Rs. 3,22,516.16/ -. He, however, found that the equipment feeder line etc. had been underinsured to the extent of 44.26% and accordingly, made a deduction of Rs. 1,42,745.65/ - on account of the said under insurance. After deducting a sum of Rs. 15,000/ - under the heading 'excess clause', he recommended payment of Rs. 1,64,770.51/ -. The second surveyor, Sh. B.B. Rai, vide his report dated 16.05.2008, assessed the loss to the complainant at Rs. 4,01,212.37/ - after adding 35% over head charges. After making deduction on account of under valuation, he assessed the loss at Rs. 2,39,159/ -. He made further deduction of Rs. 2,400/ - on account of value recoverable by salvage and deduction of Rs. 15,000/ - on account of policy excess and recommended payment of Rs. 2,21,759/ - to the complainant.

(2.) BEING aggrieved from the denial of a substantial part of the claim, the complainant approached the concerned District Forum by way of a complaint, seeking the following reliefs: -

(3.) THE complaint was opposed by the Insurance Company, primarily on the ground that the equipment etc. having been got underinsured by the complainant, the deductions made by the surveyor was justified. It was also stated in the reply that the complainant having accepted the amount assessed by the surveyor in full and final settlement of their claim, he is precluded from filing a complaint seeking additional payment. The Insurance Policy, to the extent it is relevant for the purpose of this petition reads as under: -