Insurance Claim – Repudiation for non-payment of national permit authorisation fees of truck
The truck of the appellant caught fire by short circuit on 8.6.2014 during validity of the insurance cover.
The State Commission allowed the insurance claim on non-standard basis.
However, the National Commission allowed the appeal of the Insurance Company on the ground that there was no valid national permit.
The owner had taken the All India National Permit for 14.10.2012 to 13.10.2017 and for the State of Bihar the permit was in force from 13.10.2012 to 13.10.2013. The Insurance Company contended that the authorization fee was not deposited beyond 14.10.2013 and the National permit cannot be said to be a valid permit.
HELD that the truck was registered in the State of Bihar. The authorization fee was required to be paid only when the truck was moving out of State of Bihar. The fire caught in the State of Bihar itself. There was, therefore, no question or requirement of paying authorization fee when the truck was used in the State of Bihar. Therefore, the Insurance company could not have repudiated the claim on such a frivolous ground.
The complaint was allowed with interest 9% per annum.
Judgment dated 7.2.2025 of the Surpeme Court in Civil Appeal No….of 2025 (Special Civil Petition [Civil] No.13060 of 2020) of Shri Binod Kumar Singh Vs. National Insurance Company Ltd
