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SUBHASH CHANDRA
Shiv Udyog – Appellant
Versus
S. B. I. General Insurance Co. Ltd. – Respondent
ORDER
This complaint under the Consumer Protection Act, 1986 (in short, the ‘Act’) has been filed seeking the enhancement of an insurance claim filed with the opposite party with compensation alleging deficiency in service. The complainant is a proprietorship firm which had obtained a Standard Fire and Special Peril Insurance Policy (in short, the ‘Policy”) from the opposite party for Rs 3.10 crores for his premises which was completely damaged in a fire due to an electrical short circuit on 13.02.2013.
2. The facts as per the complainant are that he has a grain cleaning and colour sortex unit at C-98, Additional MIDC, Latur since 2012 with imported plant and machinery worth Rs.2.25 crores covered by the Policy dated 23.11.2012. The fire incident on 13.02.2013 destroyed machinery, building and godown though the fire brigade was summoned. An FIR No. 2/2013 was registered with the Police and opposite party informed the same day. Cunningham & Lindsey International Pvt. Ltd. was appointed surveyors on 14.02.2013 and various documents shared with them per correspondence. The complainant filed a claim for Rs 2,86,00,000/-.The imported Sortex machine was inspected by the suppliers, M/s Bu
A claimant must establish evidence of coercion in accepting insurance settlement to prevail in a deficiency of service claim under the Consumer Protection Act.
The insurance company’s coercive practices in settling claims amount to deficiency in service under consumer law.
Amount received under protest - After signing the discharge voucher and accepting the amount in full and final settlement, the Complainant is not permitted to raise the plea that the amount was accep....
(1) Specific Law - It is settled law that the remedy under the Consumer Protection Act is an additional remedy and is not curtailed due to any specific law.(2) Arbitration clause - Arbitration clause....
The court upheld the view that a discharge voucher does not preclude subsequent claims under the Consumer Protection Act if evidence of coercion is absent.
The court established that a consumer can claim under the Consumer Protection Act for insurance disputes, even with commercial intent, emphasizing assessment fairness by the appointed Surveyor.
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