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Car was stolen but insurance company denying to pay
30-Dec-2023 (In Insurance Law)
Staff bought a CAR from office on 10th OCT, RC and insurance was not transferred, CAR was reported lost on 27th OCT and FIR was done by staff. It has been mentioned in FIR that CAR was sold based on this insurance company has rejected the claim of office and second owner (staff) stating that it should have been transferred within 14 days. The have referred Ref ACT 157, MVC 1988)
No, Insurance company is not liable to pay insurance claim, because when the Car was sold RC and insurance was not transferred in the second owner’s name. As it is mandatory to transfer it within 14 days as per section 157 of Motor Vehicles act, 1988
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Adv. Chikirsha Mohanty
Delhi | 200+ Answers
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