whether the claim is payable
Suri.Sravan Kumar
(Querist) 17 December 2010
This query is : Resolved
XYZ co placed ad in a news paper about a scheme stating that if a consumer pays an amount of Rs 1,60,000/- to purchase a new car and the same will be purchase by the company on the person’s name by arranging finance from a finance company and will also pay rent of the car and monthly installments to finance company. Seeing the ad a consumer approached the BO of the XYZ co and enquired about details of the scheme and paid the amount. The consumer purchased car after receiving loan from a finance company and got it regd with RTA and handed over the car to the BO under acknowledgement. The consumer also entered into lease agreement with the co. After one week the BO issued 12 cheque each for an amount of Rs 7000/- towards monthly rent and also issued 12 cheque each for Rs 9720/- towards monthly installment payable to Finance company. Out of 12 cheque for rent 4 cheques were honoured and one pay order was issued. Out of 12 cheque for monthly loan installment 2 were honoured, 2 were dishonored and for these the BO paid through pay order. 3 more chq’s amount of Rs 9720/-, 9645/- and 9645/-were also deposited into the consumer’s account by the company. When the co stopped paying the amounts the consumer went to the BO but found locked and sealed by Police. The consumer went to HO and demanded his payments and also to return of the car. The HO assured him that they would be reopening their BO and would be making the payments. Believing the version the consumer waited for long time for reopening of BO. When the BO was not reopened as assured by HO he again visited HO but to his surprise it was also closed and their whereabouts where not known. The consumer filed cheating case U/S 420 IPC against the co as well as its directors and BO incharge. The car was insured with an Insurance Company and the consumer lodged claim with the insurance company. whether claim is payable or not as it comes under contractual obligation.(There was an agreement by the consumer with the XYZ CO). whether the claim falls under malicious act as per conditions of policy?
Raj Kumar Makkad
(Expert) 17 December 2010
No. In the given case, insurance company has no liability of any type as the car has been leased out by loanee himself without the consent of the insurance company under a specific agreement so there is no scope of compensation/damages by insurer.
Suri.Sravan Kumar
(Querist) 17 December 2010
the vehicle is regd as passengers car carrying commercial vehicle with valid permit.
Devajyoti Barman
(Expert) 17 December 2010
If the premium is not paid the insurance company is not liable to compensate the owner.
Swami Sadashiva Brahmendra Sar
(Expert) 17 December 2010
kindly verify the terms and conditions of insurance policy. If your car insured and there is no exception clause about such type of incidents as happened in your case, the Insurance co. is bound to compensate.
Arun Kumar Bhagat
(Expert) 19 December 2010
The car is to be treated as stolen. Insurance company is liable.
