Oriental Insurance Company Limited vs Mahendra Construction

The Supreme Court upheld the decision of the National Consumer Disputes Redressal Commission (NCDRC) which ruled that the insurer, New India Assurance Company Limited, was unjustified in repudiating the insurance claim of Mahendra Construction for a fire incident involving a hydraulic excavator. The Court noted that the previous insurance policy was annexed to the proposal, and the insurer could have discovered the necessary information with ordinary diligence, thus establishing that non-disclosure under paragraph 25(g) of the proposal form did not warrant repudiation. The Court affirmed the NCDRC's order for the insurer to pay the claim amount of Rs 23.84 lakhs with interest.