Page 53 - The Insurance Times October 2024

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J&J told to pay Rs. 35L each as compen- high failure rates, which were causing severe pain and ne-
cessitating revision surgeries.
sation to hip implant victims
Despite the global recall and compensation payments made
Following a seven-year legal battle, the National Consumer to affected patients in the USA and UK, Lohia argued that
Disputes Redressal Commission (NCDRC) has awarded a
he received no compensation in India despite enduring simi-
compensation of Rs 35 lakh to a Pune businessman, for a
lar suffering. Lohia underwent a revision surgery in 2017
faulty medical hip implant.
and had his medical expenses reimbursed, but the company
The businessman, Purshottam Lohia, had filed a claim of Rs did not compensate him for the pain and losses he incurred.
5 crore against Johnson & Johnson Ltd, citing the severe
and lasting physical and mental trauma caused by a faulty
medical implant manufactured by Johnson & Johnson sub- Vehicle cover transfers to buyer on reg-
sidiary, DePuy Orthopaedics Inc. The NCDRC, however, istration
awarded Rs 35 lakh in compensation, along with an addi-
Harmanpreet Singh purchased a vehicle from Sandeep
tional Rs 1 lakh for mental agony. Since Johnson & Johnson Kumar who had insured it with Iffco Tokio General Insur-
had already paid Lohia Rs 25 lakh following orders from the ance for Rs 737,134 under its private vehicle package policy
Delhi High Court, which had directed the company to com-
valid from December 1, 2016 to November 30, 2017.
pensate patients who underwent revision surgeries due to
After purchase on September 4, 2017, the vehicle was trans-
the defective ASR XL implants, Lohia will receive the bal-
ance amount of Rs 10 lakh from the company. ferred to Singh's name by the Ambala Regional Transport
Office (RTO) on September 5, 2017. However, the insurance
The NCDRC judgment was influenced by the report of an
policy was not transferred.
expert committee (Arya Committee), which confirmed that
The vehicle met with an accident on the night between Sep-
the ASR XL implants were inherently defective and had
caused serious health complications, including the release tember 10 and 11, 2017. A police complaint was lodged and
the insurer was also promptly informed. The surveyor who
of toxic metal ions. Johnson & Johnson challenged the find-
was appointed inspected the vehicle and declared that it was
ings, but the committee held the company liable for the
faulty product, marking a significant victory for Lohia and beyond repair, and declared it a 'total loss'. However, the
insurer refused to make any payment on the ground that the
setting a precedent for other patients in India who suffered
insurance policy had not been transferred in Singh's favour.
similar complications.
Singh filed a complaint before the Chandigarh District Com-
Lohia suffered an accident in 2006, following which he had
to undergo a total hip replacement surgery in June 2008 at mission for a direction to pay Rs 737,134 towards the de-
preciated value of the vehicle as recorded in the policy. He
the Poona Hospital and Research Centre. The surgery in-
also sought interest, compensation, and litigation costs.
volved the implantation of DePuy's ASR XL Femoral Implant
and Taper Sleeve Adaptor. In August 2010, the company The insurer contested the case, stating that the claim had
voluntarily recalled the product globally, acknowledging its rightly been rejected due to lack of insurable interest as the

48 October 2024 The Insurance Times