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Surveyor's Report Is Not Final And Can be Contested With More Evidence: NCDRC
Ayushi Rani
28 May 2024 8:00 PM IST
The National Consumer Disputes Redressal Commission, presided by AVM J. Rajendra held that in cases of discrepancy between the insured amount assessed by an authorized dealer and a surveyor, the claim by the dealer will take precedence. This is because the dealer's assessment is often based on a more thorough and detailed inspection, providing a more accurate estimate of the damages...
The National Consumer Disputes Redressal Commission, presided by AVM J. Rajendra held that in cases of discrepancy between the insured amount assessed by an authorized dealer and a surveyor, the claim by the dealer will take precedence. This is because the dealer's assessment is often based on a more thorough and detailed inspection, providing a more accurate estimate of the damages and repair costs.
Brief Facts of the Case
The complainant owned a Tavera car, which was insured by the Royal Sundaram General Insurance/insurer for a specified period. On a particular date, the complainant's vehicle was involved in an accident, which was reported to both the police and the insurance company. A surveyor assessed the loss at Rs. 1,54,559. However, the complainant sought the Insured Declared Value (IDV) of the vehicle, claiming a total loss of Rs. 4,98,717. Dissatisfied with the outcome, the complainant filed a consumer complaint before the District Forum. The District Forum allowed the complaint. The insurer then moved to the State Commission but the Commission dismissed the appeal. The insurer filed a revision petition before the National Commission against the State Commission's order.
Contentions of the Insurer
The insurer confirmed that the vehicle was insured by them and the surveyor assessed the loss at Rs. 1,54,559 after deductions for depreciation and policy excess. They noted the complainant did not present the vehicle for re-inspection or provide original bills and receipts for the settlement of the claim and thus sought dismissal of the complaint.
Observations by the Commission
The Commission observed that the main issue was the discrepancy in assessing the vehicle's damage and repair costs following an accident. According to Malwa Auto Sales, the authorized car dealer, the vehicle was reported as damaged, with a repair estimate of Rs. 9 lakh, and the Insured Declared Value (IDV) of the car was Rs. 4,98,717 according to their report. In contrast, a surveyor's report assessed the loss at Rs. 1,54,559 after deductions for depreciation and excess value. The commission noted that this discrepancy highlighted a significant issue in compensation, with the authorized dealer being more in tune with the damages and repair costs, estimating a total loss and suggesting that the repair cost exceeded the IDV. Therefore, compensation equal to the IDV was deemed applicable. The importance of the surveyor's assessment was underscored in the case of New India Assurance Co. Ltd. Vs. Pradeep Kumar, where it was noted that while the surveyor's report is essential, it is not final and can be contested with more reliable evidence. Similarly, the commission cited the ruling in Sri Venkateshwara Syndicate Vs. Oriental Insurance Co. Ltd. & Anr which affirmed that surveyors' reports are crucial for claim settlements but can be disputed if there are sufficient grounds. Consequently, the Revision Petition was dismissed, and the State Commission's order was upheld.
Case Title: Royal Sundaram General Insurance Vs. Ishwar Singh Mehra
Case Number: No. 1150/2017
