Case Commentary – Reliance Life Insurance Co Ltd & Anr vs Rekhaben Nareshbhai Rathod, Civil Appeal No. 4261 of 2019 (SC)

Author – DEEPTHI RODDA, RESEARCH ASSISTANT at DAMODARAM SANJIVAYYA NATIONAL LAW UNIVERSITY

BEST CITATION – DEEPTHI RODDA, Case Commentary – Reliance Life Insurance Co Ltd & Anr vs Rekhaben Nareshbhai Rathod, Civil Appeal No. 4261 of 2019 (SC), INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 3 (1) OF 2023, PG. 767-771, ISSN – 2583-2344.

ABSTRACT

This case highlights the principle of utmost good faith which is one of the foundational principles, which governs of any type of insurance. A contract of insurance is one of trust, and principle of utmost good faith by emphasizing on the disclosures helps to develop a trust between the insurers and insured which will ultimately help both the parties in settling the claim when it is made. It highlights how the principle of utmost good faith has evolved over time by highlighting the related cases. The relevant statutory provisions regarding the principle of good faith has also been discussed in this paper  by referring to the domestic insurance statutes in India. Different dimensions of principle of utmost good faith have also been discussed in this paper. The duties of insurer and the insured in consonance with principle of utmost good faith have been discussed in this paper. The case is about the non-disclosure of the information regarding previous insurance policy in the proposal form