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Insurance Laws in India: Insurance company claims, acts and cases

Insurance Laws in India: Insurance company claims, acts and cases

Insurance Laws in India: Insurance company claims, acts and cases

Insurance Laws in India: Insurance company claims, acts and cases

 

Insurance law governs that practices of law which surrounds insurance, including insurance policies and claims. Insurance regulation that governs the business of insurance is typically aimed at assuring the solvency of insurance companies. Thus, four type of regulations:

 

ACTS:

 

ADVANTAGE OF INSURANCE:

 

DISADVANTAGES OF INSURANCE:

 

PRINCIPLESOF/LAWS GOVERNING INSURANCE:

 

TYPES OF INSURANCE:

LIFE INSURANCE:

Life insurance is nothing but a contract pledging payment of an amount to the person assured on the happening of the event insured against, which is valid for payment of the insured amount during:

 

GENERAL INSURANCE:

Insurance which are not Life Insurance falls under this category.

 

Motor Insurance:

Motor insurance gives protection to the vehicle owner against – damages to his/her vehicle and pays of any Third Party liability determined as per law against the owner of the vehicle. Third Party insurance is a statutory requirement.

Driving a motor vehicle without insurance in a public place is a punishable offence in terms of the Motor Vehicles Act, 1988.

 

Health insurance:

A health insurance policy is a contract between an insurer and an individual / group where the insurer agrees to provide specified health insurance cover at a particular premium subject to terms and conditions specified in the policy.

The term Health Insurance relates to a type of insurance that essentially covers the medical expenses.

 

Property Insurance:

It means insurance of buildings, machinery, stocks etc against Fire and Allied Perils, Burglary Risks and so on.

There are package or umbrella covers available which give, under a single document, a combination of covers.

Such policies, apart from seeking to cover property may also include certain personal lines or liability covers.

 

Commercial insurance:

The most common types of commercial insurance are property, liability and workers’ compensation.

In general, property insurance covers damages to your business property; liability insurance covers damages to third parties; and workers’ compensation insurance covers on-the-job injuries to your employees.

 

AUTHORITIES:

The Insurance Regulatory and Development Authority of India (IRDAI) primarily regulate insurance in India. It was established in 1999 under the government legislation called the Insurance Regulatory and Development Authority Act, 1999.

 

INSURANCE COMPANIES:

CASES:

A claim can also be awarded on humanitarian grounds United India Assurance Vs. Laxamma wherein the defendant had deposited a premium cheque which bounced. When the insured died, the court ordered the company to pay the claim amount, stating that they weren’t informed about the cheque bouncing before the claim was placed.

 

KP Desai vs. United India Insurance Company, Maharashtra State Consumer Disputes Redressal Commission.

After KP Desai underwent a laser eye surgery in 1997, when filed a claim for the surgery expenses, the United India Insurance Company rejected it stating that the surgery was purely cosmetic and not covered by the insurance. South Mumbai District Consumer Disputes Redressal forum in 1997 and Maharashtra State Consumer Disputes Redressal Commission favored Desai.

 

New India Assurance vs. Ashok Kumar, National Consumer Disputes Redressal Commission.

Ashok Kumar purchased a second hand car in November, 2006, which was insured by New India Assurance by the previous owner and not informed this to insurance company about the registration transfer or get the insurance policy transferred to his name. When the car was stolen, his claim was rejected on the grounds that the claim was not in his name. National Consumer Disputes Redressal Commission, ruled in its favouras insurance company must be informed.

 

 

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