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Oriental Insurance Company Limited vs M/S Narbheram Power And Steel Pvt Ltd on 2 May, 2018

13. Notably, liability of the insurance company does not fall under the Act and the same is governed only by the terms of the contract. When parties have agreed upon the terms of the insurance contract, the Court cannot interpret the clauses in the contract, by adverting to equity principles. It is because in commercial transactions, the question of lack of bargaining power does not arise. This was the view taken by a three-Judge Bench of this Court in Oriental Insurance Company Limited v. Narbheram Power and Steel Private Limited, (2018) 6 SCC 534 wherein this Court held as under:
Supreme Court of India Cites 16 - Cited by 39 - D Misra - Full Document

New India Assurance Co. Ltd vs Harshadbhai Amrutbhai Modhiya & Anr on 28 April, 2006

8. The Division Bench of the High Court in order to examine the liability of the insurance company bearing in mind the above clause in the insurance contract, adverted to the applicable law on the point and concluded that the insurer does not have any liability to indemnify the insured in respect of the interest, on the determined sum of compensation. The High Court relied on the judgment of this Court reported in New India Assurance Co. Ltd. v. Harshadbhai Amrutbhai Modhiya & Anr., (2006) 5 SCC 192 wherein this Court observed as follows:
Supreme Court of India Cites 17 - Cited by 165 - S B Sinha - Full Document
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