Theft of Vehicles and Law of Insurance Claims

Theft of Vehicles and Law of Insurance Claims

*Insurance Claims and Law - "Motor Insurance" - C was a customer - C had a vehicle which was insured with insurance company - Car was stolen - Insurance company repudiated insurance claim after more than 30 days of claim intimation - Ground raised by insurance company was that "2^nd key of vehicle was lying inside vehicle in a hand bag at the time of Theft-loss" - Whether such grounds for insurance claim repudiation are legally sustainable ? - It was held that "it is an admitted position that the car of the complainant was duly locked at the time it was stolen. Even if we presume as is alleged by the petitioner that the second key of the car had been kept in a handbag in the car, it cannot be said that the complainant had failed to take all reasonable steps to safeguard the care from loss by way of theft. The person who committed the theft of the vehicle obviously would not be knowing that the second key of the car was available in a bag kept inside the car. Therefore, while entering the car, he would certainly be having either some key which would start the car or he would be having some other device with him which would enable him to start the vehicle without its original key. Therefore, it cannot be said that leaving the second key in a bag kept inside the car constituted breach of complaint or of the insurance policy, as reproduced hereinabove. The car in question had a computerized key besides an immobilizer. Despite that, the thief was able to enter the car which clearly shows that he was well equipped with the necessary tools and gadgets which would enable him to drive the stolen car. Therefore, in our opinion, it cannot be said that the act of the complainant in keeping the second key in the bag left inside the car led to the theft of the car or in any manner, facilitated the same. The aforesaid act of the complainant, in our opinion, did not, in any manner, lead or contribute to the theft of the vehicle. The complainant having duly locked the vehicle, it cannot be said that he had failed to take the reasonable steps to safeguard the vehicle against possible theft." - Insurance claim repudiation was held to be illegal. - *Future Generali Insurance Co. Ltd v. Anshita Chaudhary [2016] GCtR 6618 (NCDRC)*