#Policy Exclusions

Bombay High Court rules that shifting insured property to a new location without prior insurer consent under Clause 13 of a fire insurance policy automatically voids coverage, reinforcing strict contractual compliance. The judgment underscores the non-negotiable nature of policy terms for businesses and financial institutions relying on bancassurance arrangements.

The Bombay High Court ruled that insurers cannot deny liability for injuries to gratuitous passengers merely by alleging policy exclusions-they must produce the actual policy terms and prove the exclusion was clearly communicated and paid for. This shifts the burden of proof squarely onto insurers, protecting innocent passengers in rural and informal transport settings where coverage is often assumed.