STATE CONSUMER DISPUTES REDRESSAL COMMISSION, PUNJAB, CHANDIGARH
Daya Chaudhary, President and Urvashi Agnihotri, Member
Cholamandalam MS General
Insurance Company Limited —Appellant
versus
Uttam Singh and Anr. —Respondents
First Appeal No.314 of 2021
Decided on 9.11.2022

IMPORTANT POINTS
(1) Registered Owner - The complainant has rightly been held entitled to the claim, being the registered owner of the vehicle as the Registration Certificate and Insurance Policy were still in his name at the time of accident.
(2) Survey Report – It is settled law that the survey report is not the last and final word and can be departed if there is sufficient reasons to rebut the same.
(3) Tabulated form - Simply by mentioning the assessment of loss against certain parts in tabulated form without any cogent and convincing reasons cannot be accepted in the eyes of law.
(4) Tabulated form - The survey report has been produced in a tabulated form only.
(5) Agreement or execution of the affidavit - Only on the basis of agreement or execution of the affidavit between both of them, it cannot be said to be a case of transfer of ownership.

Headnote:

A. Consumer Protection Act, 2019 – S.41 – Motor Vehicles Act, 1988 - S.2(30) – “Owner” - Registered Owner –Transfer of Ownership - on the date of Accident – Claim amount entitled to Complainant, other than registered Owner – Liability of Insurance Company - Appeal Against order of District Commission - Services – Insurance – Repudiation of Claim - The claim of the complainant was repudiated on the ground that the vehicle was sold to one N -In the present case, the Insurance Policy and the Registration Certificate were still in the name of the complainant at the time of said accident and he, being the registered owner of the vehicle, filed the complaint before the District Commission. Admittedly, said N did not file any complaint against the rejection of claim by the Insurance Company. Meaning thereby N was not having any objection in paying the claim amount to the complainant U – Therefore, the complainant has righty been held entitled to the claim, being the registered owner of the vehicle as the Registration Certificate and Insurance Policy were still in his name at the time of accident and he had paid the premium of the said Insurance Policy to the appellant/opposite party No.2 for indemnification of loss and as such the appellant/Insurance Company cannot evade its liability. [Paras 18 to 29].

B. Consumer Protection Act, 2019 – S.41 – Services – Insurance – Repudiation of Claim – Survey Report – Nature and Scope of – Report must be detailed report – Tabulated form - Description of loss must be mentioned - It is settled law that the survey report is not the last and final word and can be departed if there is sufficient reasons to rebut the same - There should be detailed description of loss suffered by the vehicle as well as assessment of the loss but these things are missing in the survey report - The survey report has been produced in a tabulated form only. Neither any detailed reasoning has been given therein about the extent of loss suffered by the vehicle nor any photographs of the vehicle have been annexed. Simply by mentioning the assessment of loss against certain parts in tabulated form without any cogent and convincing reasons cannot be accepted in the eyes of law - Accordingly, the appeal being devoid of any merit is hereby dismissed. [Paras 30,31].

C. Consumer Protection Act, 2019 – S.41 – Motor Vehicles Act, 1988 - S.2(30), Sections 147 and 157 – “Owner” - agreement or execution of the affidavit – No transfer of Ownership - Registered Owner –Transfer of Ownership - Insurance Policy – not transferred – Liability of Insurance Company - whether the ownership would be transferred automatically in case of sale of vehicle without change in the RC and Insurance Policy - Admittedly the RC of the vehicle was not transferred in favour of N, Meaning thereby the complainant U was the owner of the vehicle. Only on the basis of agreement or execution of the affidavit between both of them, it cannot be said to be a case of transfer of ownership. The transferee is required to apply for transfer of insurance policy within a period of 14 days for the transfer of the vehicle. The buyer of the insured vehicle is required to transfer the vehicle under Section 157 of the Motor Vehicle Act but in the present case it was not done. Admittedly, the insurer had not transferred the policy of insurance to the transferee. Admittedly, the vehicle was not transferred in favour of the subsequent purchaser till lodging the claim with the appellant/Insurance Company. Thus, the compliance of provisions of Sections 147 and 157 of the Motor Vehicles Act, 1988 could not be done. The Insurance Company was not justified to repudiate the claim. [Paras 25,26].

Result: Appeal dismissed.