Consumer body orders insurance firm to pay Rs 25.61 lakh to power company over ‘theft’
The Delhi State Consumer Commission has ordered National Insurance Company Ltd to pay Rs 25.61 lakh to a power transmission firm following a ruling that the insurer's delay in acknowledging part of a theft during a power transmission project was not enough to reject the claim. The commission's president, Justice Sangita Dhingra Sehgal, and member Bimla Kumari heard a complaint filed by the power transmission company after it was denied an insurance claim stemming from theft at the project.
The incident involved theft of conductor wire from a 215-km project, making it challenging to evaluate the loss immediately. The commission found that the delay in informing the insurer about the theft, which occurred on March 25, 2017, and was reported to the police on March 30, amounted to a violation of the 14-day policy condition.
However, a five-day delay in notifying the police about the loss was deemed insufficient to reject the claim.
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