New India Assurance Co.Ltd vs Parakh Foods Ltd

The Supreme Court upheld the National Consumer Disputes Redressal Commission's decision granting M/s. Cargil India Pvt. Ltd. compensation of Rs. 1,70,72,876 for loss due to fire damage to soya bean stock, along with interest and costs. The Court found that the respondent's payment of an additional premium modified the exclusion clause in the insurance policy, allowing coverage for losses caused by spontaneous combustion. The Court affirmed the National Commission's findings, rejecting the appellant's claims regarding pre-existing damage to the stock.