NATIONAL INSURANCE CO. LTD. vs NIPHA EXPORTS PVT. LTD.

The Supreme Court upheld the National Consumer Disputes Redressal Commission's order directing National Insurance Company Ltd. to pay interest at 6% on Rs.70,38,038/- for the delay in payment from 10th December 1990 to 8th June 1994. The Court found that the delay was attributable to the insurance company's failure to settle the claim promptly, as the claim was not finalized until 8th April 1994. The Court ruled that the respondent was entitled to interest as damages due to the delay in payment, affirming the Commission's decision.