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No Accident Claim Can Be Granted Where Deceased Insured Person Was Not Holding Valid Driving License: Uttarakhand State Commission
Aakanksha Bajoria
8 Dec 2024 8:00 PM IST
The Uttarakhand State Disputes Redressal Commission has held that no insurance claim for accident can be granted where the person was not holding a valid driver's license. A bench of Judicial member MK Singhal and Member CM Singh has upheld the denial of claim by National India Assurance Co. ltd. as the deceased insured was having only a learning license at the time of accident. This...
The Uttarakhand State Disputes Redressal Commission has held that no insurance claim for accident can be granted where the person was not holding a valid driver's license. A bench of Judicial member MK Singhal and Member CM Singh has upheld the denial of claim by National India Assurance Co. ltd. as the deceased insured was having only a learning license at the time of accident. This is a breach of the terms of the policy and also the Motor Vehicles Rules, 1989.
Brief background:
An insurance policy for a vehicle owned by the Complainant's son was taken from National Insurance Company. Additionally, the policy also included insurance for personal accident amounting to Rs. 1,00,000. Subsequently, the complainant's son met with an accident and died due to several injuries. The vehicle was also damaged. The Complainant informed the insurance company about the said accident and provided all necessary documents for assessment of claim. It was stated that the company provided false assurances regarding the grant of personal accident claims. A legal notice was also served by the complainant but no satisfactory response was received. Hence, the Complainant filed a complaint with the consumer forum praying for the amount of said personal accident claim.
Arguments of the insurance company:
The insurance company argued that the complainant did not inform about the accident in a timely manner and the required documents were also not furnished. The primary argument was that the son of the complainant was holding a learner's license while driving the vehicle which is a material violation of terms and conditions of the insurance policy. The deceased son was not having a valid license to drive independently at the time of accident.
Observations:
The bench observed that the deceased son was holding only a learner's license at the time of accident. As per Rule 3 of Central Motor Vehicle rules, 1989, a person holding a learner's license shall have beside him a valid license holder who will instruct him to drive safely. Further, the rule also mandates that letter “L” should be printed on the back and rear of the vehicle so as to convey to the public that the person driving the vehicle does not have a valid license. This condition has been violated by the complainant's son. Therefore, there was a breach of the rules as well as the terms and conditions of the policy. Hence, no compensation was granted to the complainant and the appeal was dismissed.
Case Name: National India Assurance Co. ltd vs Smt. Parwati Devi
Case number: First Appeal 254 of 2016
Date of decision: 29.11.2024