Homeowner Wins 7-Year Battle: Supreme Court Orders Insurer to Pay for Rain-Flooded Basement
The Supreme Court held that heavy rainfall causing sudden basement flooding constitutes a covered "flood/inundation" peril under standard insurance policies, rejecting the insurer’s "seepage" exclusion. It ruled that insurers cannot arbitrarily disregard initial survey reports confirming flood damage in favor of belated contradictory assessments. The Court remanded the matter to NCDRC solely for compensation quantification under the policy terms, emphasizing objective claim evaluation aligned with contractual obligations.
Facts Of The Case:
The appellant, Gopal Dikshit, owned a property at 50, Ishwar Nagar, Mathura Road, New Delhi, insured under a ₹1.5 crore House Holder Policy (No. 2219042615P115431073) by United India Insurance for the period March 13, 2016, to March 12, 20...