Kathmandu. The recent verdict of the Insurance Authority of Nepal (IBA) has shown a representative example of how attempts to hide the real facts and change the driver in order to get the insurance amount after a road accident fails.
The insured has been forced to return empty-handed after submitting fake details claiming that the father was driving the vehicle and not the son to claim the vehicle after the accident.
What was the event?
The accident took place at 4:50 am on July 21, 2019 when a Creta jeep (Ba-01-025-Cha 3543) en route to Bhairahawa from Butwal lost control and collided with an electric pole and divider at Tilottama Municipality-2 of Rupandehi district. The accident also hit a motorcycle and the occupants of the jeep were injured.
Kamal Ghimire, one of the insurers of the vehicle, had filed a complaint with the Nepal Insurance Authority claiming that the vehicle was driven by him and that the accident took place all of a sudden. However, when Siddhartha Premier Insurance investigated, the nature of the incident was different.
According to the District Police Office, Rupandehi, the jeep was driven by his son Sachin Ghimire and not Kamal Ghimire. The report prepared by the doctors while undergoing treatment at Butwal-based Chauraha Hospital clearly stated that the driver Sachin had consumed alcohol.
Investigation and Determination of the Authority
}
The Insurance Authority went through the documents of both the parties and found that the insured had violated the principle of absolute good faith. Clause 5 (c) of Chapter 1 of the Motor Insurance Rate Directive, 2073 clearly states that the insurer shall not claim any loss, loss or damage caused by the driver due to the consumption of alcohol or drugs.
The insured claimed that he drove the car to hide the fact that his son had caused the accident, but it did not stand in front of the evidence of the hospital and the police. The Insurance Authority has ruled that the demand of the insured is not enough in the judgment of October 6, 2081. “It is evident from the discharge ticket of the hospital that the driver was Sachin Ghimire at the time of the accident,” reads the verdict. Insurance is a contract and the company is not obliged to pay compensation in case of a breach of the terms of the contract.
With this, NEA dismissed the application filed by insured Kamal Ghimire and relieved Siddhartha Premier Insurance of its liability.
Topics to be taken care of by the insured{
This incident has taught two important lessons in the insurance sector. In the first instance, there is a risk of death due to drunken driving, and insurance companies do not even provide compensation for the vehicle in case of an accident. Trying to change drivers after a second accident or twist the details of the incident will ultimately lead to legal troubles, not benefits.
