The theft has occurred and the FIR was lodged immediately by the insured with the police station who in turn submitted the untraced report. After 5 months from date of theft, the insured filed claim before the Insurance Company who repudiated the claim on the ground that the insured failed to intimate the insurance company within reasonable time.

The consumer filed complaint before District forum which allowed the claim & confirmed by the state commission but the NCDRC upheld the repudiation & dismissed the claim. The Supreme Court set aside the NCDRC order and held that delay in intimation of claim cannot be a ground to repudiate the claim, if claim is genuine 1.

1. In Gurshinder Singh vs. Shriram General Insurance Company Ltd. & Another reported in 2020 (11) SCC 612
   
   When an insured has lodged the FIR immediately after the theft of a vehicle occurred and when the police after investigation have lodged a final report after the vehicle was not traced and when the surveyors/investigators appointed by the insurance company have found the claim of the theft to be genuine, then mere delay in intimating the insurance company about the occurrence of the theft cannot be a ground to deny the claim of the insured.

Written By: Shubham Budhiraja (Advocate, Delhi High Court)
Email: [email protected], Ph no: 9654055315