ICICI Lombard ordered to pay ₹16 lakh over Audi insurance claim
HYDERABAD: The District Consumer Disputes Redressal Commission-II, Hyderabad, has directed ICICI Lombard General Insurance Company Ltd to pay ₹16.80 lakh to a consumer for an insurance claim involving a damaged Audi car.
The commission also ordered the insurer to pay ₹25,000 as compensation for mental agony and inconvenience and ₹5,000 towards litigation costs. The opposite parties must comply within 45 days of receiving the order.
The commission passed the order on August 4, 2026, in Consumer Case No. 188/2024 (DCC-II Hyderabad). The case relates to Consumer Case No. 425/2021 (DCC-Rangareddy), which the complainant filed on September 14, 2021.
The bench comprised president Vakkanti Narasimha Rao and members P.V.T.R. Jawahar Babu and Suma Vala.
Babburi Parvathi, wife of B. Guru Prasada Rao, filed the complaint. The 52-year-old employee lives in Nacharam, Ranga Reddy district. She named ICICI Lombard General Insurance Company Ltd, its motor claims department and branch, and Audi Secunderabad Service as opposite parties.
According to the commission’s order, Parvathi’s Audi car, bearing registration number TS 08 GJ 0555, met with an accident on December 18, 2020. The car had insurance coverage from July 25, 2020, to July 24, 2021. The policy carried an insured declared value (IDV) of ₹26 lakh.
After the accident, Parvathi took the car to the Audi service centre. The centre estimated the repair cost at ₹38,57,283.42.
Parvathi approached the consumer commission and sought ₹38,57,283.42 towards repairs. She also sought ₹1.50 lakh for parking charges, ₹1 lakh as compensation for mental agony and ₹25,000 towards litigation costs.
Insurer disputed claim
ICICI Lombard disputed the complaint. The insurer said Parvathi had not submitted documents such as the first information report (FIR), chargesheet and other accident-related records.
The insurer also said it had sent letters seeking the required documents but received no response from the complainant.
However, the commission noted that an email from the insurer dated February 1, 2021, mentioned a claim payable amount of ₹16.80 lakh. The email also sought documents from Parvathi.
Commission finds delay in settlement
The commission held that the insurer had admitted liability for ₹16.80 lakh through the email. It also found that the insurer had delayed settlement of the claim.
However, the commission rejected the higher amount sought by the complainant. It said Parvathi had not established her claim for the full repair amount.
The commission also noted that she had not substantiated the vehicle’s IDV with the relevant crime records and other supporting documents.
The commission therefore partly allowed the complaint. It directed ICICI Lombard’s opposite parties 1, 2 and 4 to pay ₹16.80 lakh to Parvathi.
The insurer must also pay ₹25,000 towards mental agony and inconvenience and ₹5,000 towards litigation costs.
The commission dismissed the complaint against Audi Secunderabad Service. It also rejected the remaining claims, including the demand for ₹1.50 lakh towards parking charges.
