- (1.) THIS is insurer's appeal against the order dated 7.6.2007 passed by the District Forum, Nainital, partly allowing consumer complaint No. 76/ 2006 and directing the insurer to pay compensation of Rs. 67,013 together with interest @ 9% p.a. and Rs. 1,500 as cost to the complainant, so as to indemnify him for the loss occasioned due to accident of his insured taxi cab No. UA04A/4082.
(2.) THE claim was repudiated by the insurer on the ground that the driver of the accidental vehicle was not having a valid and effective driving licence at the time of the accident and, as such, the company was not liable to pay any compensation. Vehicle in question was being used as a transport vehicle under tourist permit issued by the Secretary, State Transport Authority, Dehradun (Uttaranchal, now Uttarakhand) and the same was valid from 26.7.2005 to 26.7.2006. Accident took place on 23.8.2005 and at the time of the accident, the vehicle was being driven by Sh. Pradeep Bisht, whose licence was endorsed for driving transport vehicle on 8.8.2003 and the validity was upto 7.8.2006. By the tourist permit of the vehicle in question, a specific condition was imposed on the permit holder, i.e. the insured that he shall employ such a driver, who was having atleast five years experience in driving the transport vehicle. Sh. Pradeep Bisht was authorised to drive transport vehicle on 8.8.2003 and, as such, he does not meet the required specific condition of driving of vehicle in question. That was the reason for repudiation of the claim.
(3.) THE District Forum rejected the insurer's contention by observing that since the cover note issued by the Insurance Company stipulated that any person having valid driving licence, shall be entitled to drive the insured vehicle in question, the repudiation of the claim was unjustified and in doing so, the Insurance Company made deficiency in service. Learned Counsel for the insurer argued that the District Forum fell in error in observing that the driver of the vehicle in question was having valid driving licence and was authorised to drive the vehicle in question and also in not taking into proper prospective the terms and conditions of the policy of insurance, which prescribe limitation as to the use of the vehicle in question and particularly the limitation as to the use as below: "The Policy covers use only under a permit within the meaning of Motor Vehicles Act, 1988 or such a carriage falling under Sub -section 3 of Section 66 of the Motor Vehicles Act, 1988.";