BENGALURU: The Karnataka High Court has expressed concern over the arbitrary way insurance companies have been awarding compensation in several cases.
“This is being observed by this court in several cases that the insurance companies are selective in settling the claims for the reasons best known to them. Even where the judgments are incorrect and wrong, it is seen that compensation is settled and in some matters where compensation is just and proper, in such matters it takes years for them to settle the compensation,” court observed while hearing a batch of petition seeking enhancement of compensation.
Justice S.N. Satyanarayana while delivering the judgment on a batch of petitions on September 22, further observed that such practice is going on with the insurance companies of late.
“In any event, it has come to the notice of this court that such kind of discrimination is being followed by many of the insurance companies and its officers indulging in such unfair practice, which is on the rise on either side. Earlier, such unfair practice was limited to claimants with the help of police officers and doctors in making false claims and getting compensation. Unfortunately, now the insurance officers have also joined the bandwagon making the situation worse and difficult for the courts to segregate the genuine from false cases. If all those, who are involved in these proceedings, stoop to this level, god only should save this system. Anyway, this court feels that less said the better about the conduct of the officers of insurance companies.”
The batch of petitions was filed by the widow, a minor child, mother and brother of a person who died due to a road accident. The person who was travelling on a tractor trailer died in a hospital after a lorry driven negligently rammed his vehicle. The court while hearing the matters had come across some uncertainties in the proceedings while settling the compensation. The court has also observed that at least in one or two cases this court should go to the bottom of all these sorry state of affairs.
