Insurance – Repudiation of claim under exclusionary clause in a policy – Respondent-complainant running a resort obtained two insurance policies in respect of buildings of the Resort with plant and machine accessories and furniture etc. – As per respondent, a mob of about 200-250 persons entered the resort and damaged the property – Surveyor assessed the loss to the tune of Rs.202.216 lakhs – Appellant-insurance company had repudiated the claim of the respondent on the ground that the loss caused to the respondent was an outcome of the malicious act/acts on the part of the respondent management and it fell within the exclusions provided under Clause V(d) of the Insurance Policy – Appellant-Insurance Company had relied upon the incident which had taken place at the football match ground, where a accused person and his associates had fired and caused death of one person and injured others, and thereafter they had taken shelter at the resort of the respondent – National Commission allowed the complaint filed by the respondent herein, and directed the appellant to pay a sum of Rs. 202.216 lakhs to the complainant along with interest – On appeal, held: There is hardly any material to show that the entire incident and the resultant damage to the insured property was caused as a result of the malicious act of the respondent-complainant – In the instant case, the appellant-Insurance Company had failed to discharge its burden of bringing the case within the exclusionary clause V(d) of the policies in question – Appellant-Insurance Company has failed to make out any such cogent reason for not accepting the surveyor’s Report – Consumer Protection Act, 1986. Insurance – Exclusionary clause in a policy – Held: It is trite to say that wherever there is an exclusionary clause is contained in a policy, it would be for the insurer to show that the case falls within the purview of such clause – In case of ambiguity, the contract of insurance has to be construed in favour of the insured. General Assurance Society Ltd. v. Chandumull Jain and Anr. AIR 1966 SC 1644 : [1966] SCR 500 – followed. National Insurance Company Limited v. Ishar Das Madan Lal (2007) 4 SCC 105 : [2007] 2 SCR 1014 – relied on.
As published in the Supreme Court Reports, Supreme Court of India. Text from the Indian Supreme Court Judgments open data set (Dattam Labs), CC BY 4.0.
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