The consumer commission in Mumbai has ordered Axis Bank and New India Assurance to pay an insurance claim of Rs 30 lakh with interest to a policeman who suffered permanent disabilities in an accident in 2017. The commission found that the claimant’s insurance claim was arbitrarily rejected and repudiated. The bank and insurance company were in agreement to provide insurance cover to police personnel as per the Memorandum of Understanding (MoU) between the bank and the Mumbai Police. The commission also directed the payment of compensation for mental agony and litigation costs.
The High Court of Karnataka has ruled that compensation claims in road accidents do not need to be proved like criminal cases, dismissing an appeal filed by an insurance company. The court emphasized that claimants are not required to prove their case as in a criminal trial. The case in question involved the death of Divakar M R in an accident, and the Motor Accidents Claims Tribunal (MACT) awarded compensation to his parents.
