DECLARE ALL CONSIGNMENT FOR TRANSIT TO CLAIM INSURANCE
When the insurance policy for transit of goods insists on declaration of 'each and every consignment', failure to comply with it would result in rejection of the claim by the insurer, the Supreme Court stated while dismissing the appeal case, Suraj Mal Ram Niwas Oil Mills vs United India Insurance Co. A huge consignment of oil tins from Jaipur to Agartala was damaged in a rail accident. The surveyors found that it contained more than that was declared. So the insurance company rejected the claim, arguing that it was against the term of the cover note. Though the mill was successful in the Rajasthan consumer commission, the national commission and the Supreme Court justified the stand of the insurance company and dismissed its appeal.
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