“In the instant case, the policyholder had availed the car insurance policy for his personal use. However, going against the terms laid down while the car was being insured, the policy holder had subsequent hired it out for commercial purpose. The District Commission rejected the claim of insurance as the underlying insurance did not extend to cover risk associated with commercial use. In many cases, situations like this arise. Therefore, as suggested above, the policy holders must be careful of the extent of risk cover and the risks excluded in the policy document to avoid rejection of claims at a later stage," said Simranjeet Singh, Partner, Athena Legal.