A consumer commission has directed United India Insurance Company to pay more than ₹70 lakh to a BMW owner whose car was completely gutted in a fire after a tyre puncture left him stranded on a highway in Maharashtra. The insurer had rejected his claim, arguing that leaving the vehicle unattended overnight violated the policyholder’s obligation to take reasonable precautions to prevent further loss.
The ruling brings an end to a 14-year-long legal battle fought by Ravikant S Patil, who had parked his damaged vehicle near a roadside eatery before arranging alternative transport to return home.
The commission rejected the insurer’s contention, holding that the insurance policy did not impose an absolute prohibition on leaving a unattended. It also observed that a person’s safety could not be compromised merely to protect a vehicle.
BMW found burnt the next morning
The incident took place on March 8, 2012, when Patil was driving his BMW on a state highway near Dhulkhed in Maharashtra. After a tyre puncture left him stranded late at night, with no mechanic available nearby, he parked the car beside a roadside dhaba.
Patil locked the vehicle and secured its windows before returning home in another vehicle, intending to retrieve the BMW the following morning.
However, when he returned to the location the next day, he found that the car had been reduced to a burnt-out shell.
He subsequently approached United India Insurance Company to claim compensation for the loss. The insurer refused to settle the claim, maintaining that leaving the vehicle unattended overnight breached the policy condition requiring the owner to take reasonable steps to minimise further damage.
Commission finds owner took reasonable precautions
The consumer commission rejected the insurer’s argument, noting that the policy did not categorically bar a policyholder from leaving a vehicle unattended when it had broken down.
It observed that Patil had taken reasonable precautions by parking the BMW safely off the road, locking its doors and securing its windows before leaving the location.
The commission also noted that there was no conclusive evidence establishing a direct connection between the vehicle being left unattended and the fire that destroyed it.
The findings effectively rejected the insurer’s attempt to deny the claim solely on the ground that Patil had not remained with the vehicle overnight.
The commission further emphasised that personal safety must be taken into account in such circumstances. A motorist stranded on a highway late at night cannot be expected to put himself at risk simply to keep watch over a damaged vehicle.
Insurer directed to pay ₹70.75 lakh plus interest
The commission directed Company to pay Patil the BMW’s insured declared value (IDV) of ₹70 lakh.
In addition to the insurance payout, the insurer was ordered to pay ₹50,000 as compensation for mental agony and harassment suffered by the policyholder during the prolonged dispute.
It was also directed to reimburse ₹25,000 towards litigation costs.
The total amount payable consequently stands at ₹70.75 lakh, excluding interest.
The decision underscores the importance of assessing insurance claims on the basis of policy terms, the precautions taken by policyholders and the available evidence, rather than treating every instance of an unattended vehicle as an automatic breach of insurance conditions.