Prabha Sridevan, J.

The deceased was a passenger in the insured vehicle and on account of the negligence of the driver who was also the owner of the vehicle, an accident occurred on 30.7.2004.

The accident resulted in the deaths of the driver and the three passengers. The driver and two persons died at the hospital, while one passenger died on the spot. The claimants are the legal heirs of the passenger who died on the spot.

2. The legal question that arises for consideration in this appeal is whether the insurance company is liable to pay compensation for the death of the passengers who travelled in the car and whether the insurance policy covers the liability to a gratuitous passenger. We also have to decide what is a just and reasonable compensation for the claimants. According to the claimants they are liable to be compensated in a sum of Rs.25,00,000/-. The insurer has taken the specific point that on payment of additional premium, the insurance policy in this case has been extended to cover personal accident to five unnamed persons for a capital sum insured of Rs.70,000/- each in terms of (India Motor Tariff) IMT.16 and therefore,even if the insurance company is liab