Rajesh purchased a bus by taking a loan from ABC Limited. The bus was being used as private service vehicle and not as a public transport vehicle. It was insured under a comprehensive insurance policy issued by XYZ Insur

No, the insurance company was not right in deducting the amount of ₹33,125/- from the claim amount on the ground that the driver did not have an endorsement on his licence to drive a transport vehicle. Once a person had a licence to drive a heavy goods carriage vehicle, it would mean that he was entitled to drive a transport vehicle. Due to this entitlement with the driving licence the driver was allowed to drive the bus which met with the accident. The insurance company in such a case was liable to pay the full amount of claim and was not justified in deducting the amount of ₹33,125/-. The aggrieved insured person should file a complaint at the appropriate forum, so that the insurance company pays the balance amount along with interest at 12 percent and cost of ₹5,000/-.