IMPORTANT POINT
A Comprehensive/Package policy covers liability for occupants, including pillion riders, while an Act only policy does not.

JUDGMENT :

(N. Anand Venkatesh, J.) :

(Prayer: Civil Miscellaneous Appeal filed under Section 173 of the Motor Vehicles Act, 1988, to set aside the decree and judgment dated 23.12.2022 made in M.C.O.P.No.378 of 2019 on the file of the Motor Accident Claims Tribunal, Tiruvallur at Poonamallee, III Additional District & Sessions Court, Poonamallee.)

The Insurance Company has filed the present appeal against the award passed by the Motor Accident Claims Tribunal, Tiruvallur at Poonamallee, III Additional District & Sessions Court, Poonamallee, in M.C.O.P.No.378 of 2019 dated 23.12.2022.

2. The present appeal raises an interesting question on the interpretation of the Insurance Policy under which compensation has been claimed and to determine as to whether it is an Act only policy or a Comprehensive/Package policy. If the facts of the case falls within the scope of the former, the Insurance Company will not be liable to pay the compensation and on the other hand, if it falls within the scope of the latter, the Insurance Company will be liable to pay the compensation to the claimants.

3. The claimants are the parents of the deceased HajaNajubudeen. The deceased who was aged about 22 years was traveling as a pillion rider in a two wheeler belonging to the respondents 3 & 4. On 06.06.2019 at about 04.30 PM, when the vehicle was near Meenjur – Vandaloor byepass road and was approaching the bus stop, the rider of the vehicle lost control of the vehicle and as a result, the two wheeler hit the entry ramp median. The deceased fell down from the vehicle and he sustained grievous injuries and he succumbed to the injuries on 07.06.2019. It is under these circumstances, the claim petition came to be filed before the Tribunal seeking for payment of compensation.

4. The Insurance Company took a stand that the policy in question is an Act only policy and therefore, the pillion rider in the two wheeler is not covered under the policy. Consequently, the Insurance Company denied their entire liability in this case.

5. The Tribunal on considering the facts and circumstances of the case and on appreciation of the oral and documentary evidence, came to a conclusion that the accident had taken place only due to the negligence on the part of the rider of the two wheeler.

6. The Tribunal went into the question of liability and concluded that the Insurance Company is jointly and severally liable along with the owners to pay the compensation to the claimants.

7. The Tribunal proceeded to fix the total compensation at Rs.16,38,000/- under various heads as follows:

8. The above compensation was directed to be paid with interest at the rate of 7.5% per annum.

9. The Insurance Company has filed the present appeal questioning their liability against the award passed by the Motor Accident Claims Tribunal, Tiruvallur at Poonamallee, III Additional District & Sessions Court, Poonamallee, in M.C.O.P.No.378 of 2019 dated 23.12.2022.

10. Heard the learned counsel for the appellant and the learned counsel for respondents 1 & 2.

11. This Court has carefully considered the submissions made on the side of the appellant and the materials available on record.

12. This Court has also carefully gone through the award passed by the Tribunal.

13. The learned counsel for the appellant – Insurance Company submitted that the policy in question (Ex.P6/Ex.R1) is an Act only policy and that the Tribunal misdirected itself in construing it as a Comprehensive/Package policy and consequently went wrong in directing the Insurance Company to pay the compensation to the claimants.

14. The learned counsel in order to substantiate the above submissions, placed reliance upon the Insurance Policy which was marked as Ex.P6/Ex.R1. The learned couns