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Supreme Court of India 2019-03-25 dismissed

Mahavir Road and Infrastructure Pvt. Ltd vs Iffco Tokio General Insurance Co. Ltd

Bench: 2 — Dhananjaya Y. Chandrachud

In Brief

A road-construction company with material damage insurance claimed that monsoon rains had damaged newly laid roads. The insurer rejected the claim, citing an exclusion for normal wear and tear and atmospheric deterioration. The National Consumer Disputes Redressal Commission upheld the rejection, finding that the claimed rainfall dates showed only normal precipitation, the surveyor found only surface damage (not flood washout), and the company failed to present expert evidence that abnormal rain had caused the damage. The Supreme Court dismissed the appeal, holding that the company failed to prove the damage fell outside the 'normal wear and tear' exclusion; merely alleging abnormal rainfall without evidence was insufficient to overcome the policy exclusion."

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Insurance Law Consumer Protection Contract Interpretation Insurance Claims Material Damage

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