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Supreme Court of India 2021-09-30 allowed

UNITED INDIA INSURANCE CO.LTD vs SUSHIL KUMAR GODARA

Bench: 3 — Uday Umesh Lalit, S. Ravindra Bhat, Bela M. Trivedi

In Brief

A vehicle owner purchased a Bolero car with temporary registration that expired on 19 July 2011. Without obtaining permanent registration, he drove it to Jodhpur on 28 July 2011 for business purposes, where it was stolen from a guest house. The insurer repudiated the claim for using an unregistered vehicle. Consumer commissions allowed the claim, treating the breach as technical. The Supreme Court reversed, holding that using a vehicle without valid registration—even if stolen rather than involved in an accident—constitutes a fundamental breach of insurance policy terms, entitling the insurer to repudiate liability regardless of causation."

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Insurance Law Motor Vehicles Consumer Protection Contract Law Breach of Policy Conditions

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