JUDGMENT

1. In this appeal, the correctness of the decision of a two-member Bench a of this Court reported in New India Assurance Co. Ltd. v. Ram Dayal ((1990) 2 SCC 680 : 1990 SCC (Cri) 432) requires to be tested.

2. The facts giving rise to the appeal are minimal. The appellant-insurance company sold a policy at about 4 p.m. on 17-2-1989. Undeniably, it had been bought at a time when an accident pertaining to the vehicle insured had already taken place at about 9 a.m. the same day. The fatal accident occurring thereby gave rise to a claim for damages before the Motor Accident Claims Tribunal. The same was allowed on the strength of the decision of this Court aforementioned, correctness of which has been challenged. The said decision proceeded on the legal fiction that when a policy is taken on a particular date, its effectiveness would start from the commencement of that date which is from the previous midnight. The accident taking place at any time during the day would be covered by the policy. Later a three-member Bench of this Court in National Insurance Co. Ltd. v. Jikubhai Nathuji Dabhi ((1997) 1 SCC 66) has taken the view that when there is a special contract mentioning in