BY PHOEBE WANJOHI.
A businesswoman has sued Invesco Assurance Company and Family Bank Limited for failing to settle insurance claims after her motor vehicle was involved in an accident.
In a petition, Eunice Ngina Kimemia also wants the court to issue an order restraining John Musyoki Kianga and Wycliffe Musyoki, who are relatives of an accident victim, from levying any further execution on her with regard to the case pending before a Ngong court.
“An order be issued restraining John Musyoki Kianga and Wycliffe Musyoki either by themselves, agents and or auctioneers instructed by their advocates from levying any further execution on the petitioner with regard to Ngong CMCC No. 74 of 2017 pending hearing and determination of this petition herein”, Ngina said in the petition.
Through lawyer Danstan Omari, Ngina also seeks the court to declare that the Family Bank was duty bound to give her unbiased information on insurance companies that could insure her motor vehicle.
She said the non-disclosure violated her rights to information under Articles 35 1 (b) and Article 46 1 (b).
“A declaration that INVESCO, Family Bank insurance agency and Family Bank Limited jointly or severally violated her consumer rights to services of reasonable quality information necessary to gain full benefit from goods and services and protection of her economic interests as a consumer under articles 46 1 (a) (b) (c) of the Constitution of Kenya 2010,” Ngina added.
She further wants an order of mandamus compelling the three companies jointly or severally to compensate her for violation of her rights, to compensate her Sh3,800,000 being the market value of her 33-seater matatu which has since been auctioned.
She is futher seeking Sh 1,836,000 for the loss of earnings she would derived from the vehicle.
In the petition, the businesswoman wants the court to compel Invesco to compensate the family the balance of Sh 1,629,895, being demanded from her.
The woman is accusing Invesco and Family Bank Insurance Agency of concealing information on third party claim covered by the underwriter.
She said the omission infringed on her right to property as well as the right to protection of economic interests as a consumer.
The concealment, she said, apparently led to failure of payment of the third party fatal cover.
The family later instituted legal proceedings seeking general damages under the fatal accident, seeking special damages of Sh188,500 as well as costs and interest of the suit.
She was unaware of the suit against her yet the insurer had been served with a notice to sue but she wasn’t informed.
The case was instituted in 2017 and proceeded ex-parte until a judgment was delivered on April 26, 2018 and a decree and warrants of attachment issued.
Ngina argues that she only learnt about the proceedings when her motor vehicle was attached by auctioneers.
She later instructed her former advocates, Oduor Henry John & Company Advocates to stop the sale without success.
The auctioneers, she said, sold the vehicle at a paltry Sh 900,000, leaving her with a balance of Sh1,629,895.
Court documents said the businesswoman approached Family Bank in 2014, for asset finance to acquire the 33 seater vehicle for Sh3,254,510.
And after entering the agreement, she purchased the bus with a condition that it would be insured by Invesco.
AMACO Insurance Co. separately covered material damage to the vehicle.
According to her documents filed in court, payment of the premiums for the insurance cover was such that the Bank, who at the time co-owned the motor vehicle could utilize monies from the petitioner to pay to Invesco who could in turn offer a third party insurance cover to the vehicle.
“After the suit motor vehicle was purchased, it was registered under joint ownership of the Petitioner and the 3rd respondent (Family Bank) and this was to remain the position till such a time, the petitioner could have completed repayment of the loan facility advanced,” says lawyer Omari.
Ngina states that on December 31, 2016, the suit motor vehicle was involved in an accident in which both material damage and third party risks insured against crystalized.
It is alleged that on December 31, 2016, the vehicle was involved in an accident after which Kimemia informed Family Bank insurance agency about it on or about the January 12, 2017 noting to forward support documents including the police abstract in which the nature of the accident was disclosed and described.
The Agency in turn gave her claim forms which it requested her to fill assuring her that she could be compensated of the material loss as well as compensation of the fatal loss to the third party.
According to Ngina, AMACO insurance company compensated her by having the vehicle repaired while Invesco failed to compensate the third parties.
