( 1 ) UNITED India Fire and General Insurance Company Limited has filed this appeal against the award made by the Motor Accident Claims Tribunal No. I-A Ahmedabad in Motor Accidents Claims Application No. 15 of 1976. The insured has been held by the Tribunal liable to pay a sum of Rs. 1 23 0 as compensation to the claimants and has saddled the Insurance Company with that liability.

( 2 ) THE only contention which has been raised on behalf of the Insurance Company by Mr. Kurien is that even though the Insurance Company had insured the vehicle in question for a sum of Rs. 3 lakhs it cannot be made liable to pay the amount of the award beyond its statutory liability that is to say Rs. 50 0 under sec. 95 of the Motor Vehicles Act 1939 We are not impressed by this argument raised by Mr. Kurien. It is not open to the Insurance Company to insure a vehicle for less than the statutory limit. It is always open to the Insurance Company to insure it for a higher amount. If the Insurance Company insures a vehicle for a higher amount than the limit prescribed by the statute it always does so for the benefit of the insured. Therefore in a given case if an insured is held liable to