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1997 Supreme(AP) 469

Andhra Pradesh High Court
Judges : D.REDDAPPA REDDY, V.BHASKARA RAO
New India Assurance Company Ltd., Vijayawada, rep.by its Branch Manager - Appellant
Versus
Doredla Satyanarayana - Respondent
C.M.A.Nos.1040 & 41/90
Decided On : 06-10-97
Advocates Appeared :
Mr. Kota Subba Rao,Mr. R. Kameswara Rao

Headnote:MOTOR VEHICLES ACT, 1939, Secs.95 & 110(A) - Liability of Insurance Company to pay compensation to the employees of the insured - Driver suffered injuries while driving vehicle - Insured liable to pay compensation to driver U/s 3 of Workman s Compensation Act though the accident-was done due to his own negligence Owner of the vehicle which involved in accident died while travelling in the vehicle with his own goods - Legal Representatives of deceased-owner are entitled for compensation.

       Insurer of vehicle cannot avoid its liability to pay compensation to the legal Representatives of the deceased-owner of vehicle while walking knocked down by his own vehicle driven rashly and negligently.

       Insurer not liable to satisfy, the claim in· respect of death of owner-Insured when the vehicle was driven by himself at that time of accident - Insurance Policy indemnify, owner of vehicle only, against his liability to third parties.

D. REDDEPPA REDDI, J.

( 1 ) THE New India Assurance Company Limited, represented by its Branch manager, Khammam, the insurer of the lorry bearing No. ATK 9543 has preferred these two appeals under Section 173 of the Motor Vehicles Act, 1988 (for short the Act ) against the common judgment dt. 28-3-1990 in OP. Nos. 456/88 and 637/88 on the file of the Motor Accidents Claims Tribunal (District Judge), Khammam, directing it to pay the claimant in OP. No. 456/88 a sum of Rs. 1,40,000/- and the claimants in OP. No. 637/88 a sum of Rs. 3,28,500/ -.

( 2 ) THE petitioner, namely, Dorredla Satyanarayana in O. P. No. 456/88 is the driver of the insured vehicle. The petitioners in OP. No. 637/88 are the widow, minor children, brothers, sister and father of Ponnapolu Venkateswara Rao, the owner of the insured lorry. The accident occurred around 4 a. m. on 8-5-1988 at the outskirts of Wyra on the route Madhira-Wyra, resulting in grievous injuries to the driver and instantaneous death of the owner, who was also travelling in the vehicle. The applications for compensation were filed under Section 110-A r/w Section 92-A of the Motor Vehicles Act, 1939, which was repealed by Section 217 of the Act that came into force w. e. f. 1-7-1989.

( 3 ) THE petitioner in OP. No. 456/88 laid a claim- for Rs. 1,40,000/- with the following averments: He was a driver by profession, having driving licence no. 988/k/80 valid upto 12-3-1989. He was aged 25 years as on the date of accident. He was under the employment of late Ponnapolu Venkateswara Rao, the owner of the lorry bearing No. ATK 9543 on a salary of Rs. 1,000/- per month. At the fateful time, the lorry was proceeding from Madhira towards wyra and he was driving the same and the owner was sitting by his side in the cabin. The lorry went off the road and dashed against a tree by the side of the road when he swerved the vehicle towards right so as to save a buffalo that was found on the road. He was stuck between the steering and the body of the lorry. His legs were completely crushed. The owner of the lorry who was sitting in the cabin died on the spot. The vehicle was badly damaged. He sustained fracture toboth legs. He was shifted to the Government headquarters Hospital at Khammam. Later, he was shifted to M. G. M. Hospital at Warangal, where he had undergone operations twice. Skin grafting was also done. Fractures were not properly united. He has become permanent disabled, incapable of earning anything.

( 4 ) THE claimants in OP. No. 637/88 laid their claim for Rs. 4,15,000/- with the following averments: The deceased, namely Ponnapolu Venkateswara rao, aged 26 years, was the owner-cum-driver of the lorry bearing No. ATK 9543. On 8-5-1988 he boarded the lorry which was proceeding from Tanguturu in Prakasham District to Kamalapuram in Warangal District at Kanchikacherla along with one bag of rice to deliver the same to his friend Gurrala Venkata narasimha Reddy at Kothagudem. Thus, he was travelling in the lorry as owner of the goods. Around 4 a. m. when it reached the outskirts of Wyra village, the accident occurred due to rash and negligent driving of the driver resulting in instantaneous death of the deceased. The deceased was earning not less than Rs. 3,000/- per month. Out of it, he was spending not less than rs. 2,000/- per month for the maintenance of his family.

( 5 ) THE claim in both petitions was resisted by the appellant, mainly on two grounds- (l) The accident was due to rash and negligent driving of either the driver or the owner of the vehicle and therefore the claimants are not entitled to claim any compensation; and (2) The terms and conditions of the policy do not cover the risk of the owner of the vehicle and as such it is not liable to pay compensation to the claimants in OP. No. 637/88.

( 6 ) AS the two claims arose out of the same accident, the two petitions were clubbed and tried together. Evidence was recorded in OP. No. 456/88 and the same was read as evidence in OP. No. 637













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