Contracts of Insurance VII

Notably, in earlier cases like Galada Power and Telecommunication Ltd. v. United India Insurance Co. Ltd., (2016) 14 SCC 161 and Saurashtra Chemicals Ltd. v. National Insurance Co. Ltd., (2019) 19 SCC 70 it was declared, new grounds for repudiation cannot be introduced during hearing if they were not included in repudiation letter. This legal principle was reiterated in JSK Industries Pvt. Ltd. v. Oriental Insurance Co. Ltd., 2022 SCC OnLine 1451. Canvassing supplementary arguments during hearing, beyond those in insurer’s repudiation letter, is explicitly prohibited.

Hon’ble Justice Hrishikesh Roy, New India Assurance Co. Ltd. v. M/s. Mudit Roadways, [Civil Appeal No. 339 of 2023].