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A. P. SAHI
SBI General Insurance Company Ltd. – Appellant
Versus
Horizon Breweries Pvt. Ltd. – Respondent
ORDER
This is an appeal preferred by the appellant/Insurance Company questioning the correctness of the order dated 23.01.2023, passed by the State Consumer Disputes Redressal Commission, Jaipur, Rajasthan, whereby the complainant’s claim has been partly allowed for indemnifying the claim of burglary in the premises of the claimant that secured the risk under cover.
2. The allegations were that a burglary occurred on 05.03.2018, when the locks of the main gate, the godown gate and the plant gate were broken by unidentified people, who stole several articles and on coming to know of that an FIR was also lodged, whereafter an insurance claim was also made before the appellant/ Insurance Company.
3. The appellant company deployed a surveyor M/s. Mehta & Padamsey, who submitted a survey report on 25.07.2018. Clauses 5.00 to 9.04 of the said report are relevant which are extracted herein under:
“5.00 Incident/Cause
5.01 As per our enquiry and as stated by Insured that production was closed in the said plant since December 2017. Out of total 12 employees had by Insured till December 2017, only two, Lahri Jogi and Pradyuman Maurya are presently employed by Insured as night and day time
Exclusion Clause – Exclusion Clause No. 4 cannot be pressed into service to legally suspect the impugned order as infirm on that ground.
Insurer should not repudiate claim of insured merely on ground of short delay.
1) Fundamental principle of insurance law that utmost good faith must be observed by the contracting parties and good faith forbids either party from non-disclosure of the facts which the parties kno....
Underinsurance assessed by Surveyor is arbitrary.
The duty to disclose material facts runs throughout the continuance of the contract of insurance and it is binding on both parties to the contract.
The court enforced the principle that ambiguities in insurance policies favor the insured, ruling against the insurer for failing to adequately disclose exclusions.
When insurance policy itself defines acts of terrorism in Exclusion Clause, terms of policy being a concluded contract will govern rights and liabilities of parties – Parties cannot rely upon definit....
The insurer cannot deny compensation for consequential losses due to a claim exclusion where the policy covers such interruptions caused by external violence.
Claim pending – Keeping a claim pending for such a long time without any decision clearly amounts to unfair trade practice on the part of the appellant/opposite party insurance company.
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