Law: Insurance Act, (IV of 1938)

Section: 110,47B(2),110

Law: Limitation Act, 1877

Section: 86(b)

Insurance Act (IV of 1938)--Ss. 47-B(2) & 110---Limitation Act (IX of 1908), Art.86(b)--Insurance claim---Limitation---Starting point of---Out of total verified claim, 8090 claim was paid by Insurance Company to the claimant in October 1997, while 20% was refused on the plea that said 20% insurance claim was not payable by the company---Counsel for claimant had contended that refusal in respect of 20% claim having come to the knowledge of the claimant only in October 1997, limitation in that respect was to be counted from that point of time---Claim of claimant was referred to the Surveyor which remained pending with him from 1992 to 1997 but entire claim was not paid by the company on the ground that 20% out of it was not payable by the company to be and it paid only 80%--After refusal of claim of 20% in such circumstances, was to be counted from the date of refusal as prior to that claimant was not aware as to what quantum of claim was going to be approved by Surveyor or paid by the company---Settlement Board, instead of realizing the date of refusal of 20% claim had rejected on the ground that since it pertained to the year 1992, same was time barred---Record showed that Settlement Board had not turned down the entitlement of the claimant and the Surveyor had also approved the entire claim, but it was the Insurance company, who turned down 20% claim on technical point that it was not its liability, but such contention had not been acceded to by the Settlement Board---Counting the limitation period from date of refusal in October 1997 in respect of 20% claim, application of claimant before the Settlement Board in August 2000 was well within time of three years as prescribed under Art.86(b) of Limitation Act, 1908---Claim thus could not be turned down on the ground of limitation---Allowing appeal, High Court set aside impugned order to the extent of limitation with direction to Insurance company to pay to the remaining 20% with benefit of S.47-B(2) of Insurance Act, 1938. ORDER The only issue involved in this miscellaneous appeal is as to from what point of time limitation in respect of 20% claim of the petitioner is to be counted. The Honourable Supreme…

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