In a significant order, District Consumer Disputes Redressal Commission (DCDRC), Yamunanagar has held that an insurance company cannot reject an accident claim merely because the driver’s driving licence had expired at the time of the accident.
Rajbir Singh, President of the DCDRC, Jasvinder Singh and Suman Rana, both members of the DCDRC passed this order recently while hearing a complaint related to a truck accident involving complainant M/S Luxmi Narayan Timber and others of Yamunanagar district.
According to information, a truck of the complainant was insured with an insurance company and the said truck met with an accident on November 7, 2024.
After the accident, the vehicle owner submitted an insurance claim, but the company rejected it on the ground that the driver’s driving licence had expired at the time of the mishap.
The complainant approached the DCDRC alleging deficiency in service by the insurance company.
During the hearing, the DCDRC observed that rejecting a claim solely on the basis of expiry of the driving licence was not justified.
It referred to provisions of the Motor Vehicles (Amendment) Act 2019, which provide a grace period of one year for renewal of a driving licence before or after expiry.
The DCDRC noted that the driver had already applied for renewal of the licence within the prescribed period after its expiry.
After examining the surveyor’s report and the facts of the case, the DCDRC held the company guilty of deficiency in service.
The DCDRC directed the insurance company to pay the truck accident claim amount of Rs 5.60 lakh to the complainants along with 9% interest per annum from the date of filing of the complaint till its actual realization.
Besides, the company was also ordered to pay Rs 21,000 for mental agony, harassment and litigation expenses to the complainants.
