Delay in Informing Insurer and Rejection of Claim? SC Refers Matter to Larger Bench


January 15, 2018

This issue has rather been a contentious one and the Supreme Court recently in a case taken up by it (Gurshinder Singh vs Sriram General Insurance Co. Ltd.) has referred the issue whether delay in informing the Insurance Company would debar the Insurer from getting insured to a Three-Judge Bench of the Supreme Court.


The Supreme Court has referred matter to a Larger Bench in view of conflicting decisions in two earlier verdicts by the Supreme Court. The Supreme Court recently in the case of Om Prakash vs. Reliance General Insurance and Anr.[1], held that the delay in informing the Insurance Company would not debar the insured from getting the insurance claim.

Whereas in 2010 the Supreme Court in the case of Oriental Insurance Co. Ltd. Vs. Parvesh Chander Chadha[2] while deciding a case wherein the Insured had intimated the Insurance Company after a gap of 82 days had rejected Insurance claim on the basis of delay caused in informing the insurance company.

The matter has now been placed before Hon’ble the Chief Justice of India for constituting a 3-Judge Bench to resolve the conflict.

Also read Rejection of Insurance Claims – reasons and remedies

Also read SC: Insurance Company Liable to Pay Claim of Hijacked Vehicle


[1] Civil Appeal No.15611 of 2017 decided on October 4, 2017

[2] Civil Appeal No.6739 of 2010 decided on August 17, 2010