SC directs Insurance firms to pay claims of flood hit people

The Supreme Court today directed insurance companies to pay 50 per cent of insured amount for policies above Rs.25 lakh and 95 per cent for policies below Rs.25 lakh as interim relief to people of Jammu and Kashmir who lost their properties in the recent floods.
A bench headed by Chief Justice H L Dattu refused to interfere with Jammu and Kashmir High Court order to the companies to pay the claim of flood-affected people and rejected their plea seeking one month one month time to carry out the survey before settling the claims.
"Sometimes we have to ignore the rules and regulation in the interest of the people suffering from natural calamities", the bench said, adding "The Chief Justice of the High Court has seen the tragedy with his own eyes and he is justified in passing the order".

"We are not going to change even a word in High Court order", Chief Justice Dattu said.
The insurance companies--- United India, National, Oriental India and New India Insurance--- submitted that till October 9, 2014, they have received 9917 claims of an estimated amount of Rs. 980.49 crores and they have have already made 983 cheques of total amount of Rs. 25.104 crores.
The bench also directed the state government to take all steps to make High Court functional from Monday. After the flood hit the state, the HC has been functioning from a makeshift accommodation.