1. The 1st respondent had filed an application under the provisions of the Workmen Compensation Act, Commissioner, 1923, claiming compensation from the 2nd respondent and the appellant, in respect of the injuries sustained by him in a motor vehicle accident which occurred on 13.10.2005. The 2nd respondent is the owner of Maxi cab Tempo traveler bearing registration No.KA-05-B-3731, which had been insured by the appellant, as on 13.10.2005. The 1st respondent was employed by the 2nd respondent as a driver to drive the said vehicle. An accident involving the said vehicle occurred on 13.10.2005 and the 1st respondent sustained injuries, which arose out of and in the course of his employment. Though injuries were sustained and there was partial permanent disability resulting in loss of earning capacity, the 2nd respondent/employer, who was liable to pay compensation, did not pay the compensation, which resulted in an application being filed before the Workmen’s Compensation Commissioner, against the 2nd respondent and the appellant.

2. To the application, the 2nd respondent filed statement dated 18.02.2009, wherein he admitted the jural relationship, the occurrence of the ac