Bus that fell in Barakar river in Jharkhand was fraudulently insured as a two-wheeler

In a shocking revelation, police who were investigating the bus accident at Giridh stumbled upon some documents that showed that the bus was shown as a two-wheeler in the insurance policy that not only violated all the safety standards but denied the dead and injured their legitimate insurance claims.

Giridih (Jharkhand): In a stunning disclosure, authorities investigating the August 5 bus accident at Jharkhand's Giridih have found out that the bus had been falsely classified as a two-wheeler in the insurance policy. This act not only breached all safety standards but also deprived the deceased and injured individuals of their rightful insurance claims.

At least four people were killed and several others were injured when a bus on its way from Ranchi to Giridih plunged into Barakar river in Jharkhand’s Giridih on the evening of August 5.

Authorities claim that the bus owner had attempted everything to avoid paying the money needed to maintain a public vehicle. During the course of the investigation, it was discovered that the bus with the registration number JH 07H 2906 had an insurance policy with the number 1130003123010240021524.

However, this policy raised eyebrows as it appeared to be a two-wheeler package policy issued by a premiere insurance company for a scooter associated with the same registered number. Surprisingly, the policy bore the name of Pankaj Kumar, while the bus involved in the accident was registered under the name of Raju Khan.

After the information came to the fore, the District Commissioner (DC), Naman Priyesh Lakda, immediately ordered for a detailed investigation. Authorities are diligently reviewing all related documents beyond the insurance papers to uncover any additional irregularities or foul play.

Lawyers aware of the development said that the owner has done all things only to avoid certain taxes that needed to be paid for a bus plying on the road. Advocate Praveen Kumar, who has been following the case closely, highlighted the severity of the insurance deception.

“If the bus is insured as a scooter, the families of the deceased and injured in the accident may encounter difficulties in claiming insurance benefits. The discrepancy in the insurance documentation could potentially lead to legal complications and financial hardships for the victims' families,” Kumar said. When ETV Bharat tried to get in touch with the owner of the bus, his phone remained unanswered.

Prabhakar, social worker and advocate, said, “The legal requirement for every vehicle to have third-party insurance, and the estimated premium for the bus involved in the accident amounted to around Rs 60,000. Many individuals resort to such illicit activities to avoid paying this substantial premium”.

Furthermore, Kumar emphasized that if the bus had been insured, the victims, both deceased and injured, would have received appropriate compensation. He explains that the insurance company follows a fixed compensation table for death claims in vehicle insurance. They assume that any individual would retire at the age of 60.

"In the event of a death claim, the compensation calculation involves multiplying the number of years remaining until the age of 60 by 180 days per year. This amount will then be awarded to the beneficiaries. In cases where the deceased was not engaged in any occupation, an additional five lakhs will be granted, calculated by multiplying the minimum wages by 180 days per year,” the lawyer said. “In the case of a minor, the compensation amount would be calculated differently,” he added.