Insurable interest under CPM policy (Engg)
Mr A insured his JCB under CPM policy and was using at project site only and the same was not registered under Motor Vehicle Act also as it is not mandatory. The same got damaged but he could not prove his ownership as he purchased second hand from Mr B. The original bill was in favour of Mr B. So kindly ensure that the documentary evidence (sale and purchase agreement duly notarized) is available to prove insurable interest of Mr A. This situation arises in case of individual not for business entity as their books of accounts will prove sale/purchase of any machine.