IN THE HIGH COURT OF JUDICATURE AT MADRAS
Honourable Mr Justice S. SOUNTHAR
IFFCO Tokio General Insurance Co. Ltd. – Appellant
Versus
Thirumurugan – Respondent
JUDGMENT :
1. These appeals are filed by the Insurance Company questioning the common awards passed by the Motor Accident Claims Tribunal, Chief Judicial Magistrate, Nagapattinam, dated 24.03.2020 and 24.03.2020. Since 104 persons travelled in a Mini Bus and sustained injury from the same accident, all these claim petitions were taken up for hearing in two batches and disposed of by an award dated 24.03.2020 and 24.03.2020. Since the claim in these appeals are arising out of same accident, all these appeals are taken up together for hearing.
2. For the sake of convenience, the parties are referred to as per their ranking before the Tribunal.
3. It is the case of the claimants that all of them travelled in a Mini Bus named Narmadha bearing registration No.TN-59N-0191 on 03.10.2017. When the Mini Bus was proceeding from South to North towards Nagapattinam, the same was driven by its driver in a rash and negligent manner. When the Mini Bus came near Sikkal-Ponveli, due to the rash and negligent driving of its driver, the Mini Bus got toppled and fell down into a Channel. The said accident resulted in injury to 104 passengers who travelled in the Mini bus. Hence, 104 separate claim petiti
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Insurance liability confined to terms of policy, with provision for pay and recovery for excess claims beyond coverage.
The main legal point established in the judgment is that the Insurance Company cannot be held responsible for the compensation of unauthorized passengers in a goods vehicle when the risk is not cover....
Insurance liability is limited to the number of passengers as specified in the vehicle's registration, and insurers are not obligated to cover claims for unauthorized passengers.
The court established that compensation for minors in motor accident claims must be just and reasonable, emphasizing the insurer's initial liability to pay despite policy breaches, allowing for subse....
The main legal point established in the judgment is that the insurance company is not liable to pay compensation for unauthorized passengers in goods vehicles, based on the interpretation of relevant....
Insurance companies are not liable to indemnify claims for gratuitous passengers in goods vehicles under the Motor Vehicles Act, 1988, as their risks are not covered by statutory insurance policies.
Amendment to Motor Vehicles Act, 1988 mandates insurers to cover liabilities for owners of goods traveling in goods vehicles, ensuring entitled compensation for injuries sustained.
An Act Policy does not cover the risk of gratuitous passengers in a private car, and the principle of pay and recover is not applicable in such cases.
The liability of the insurer under a statutory policy is restricted to indemnify the insured in respect of claims made by third parties and the owner of goods or their authorized representatives who ....
Practical and the proper course would be to hold that the insurance company would be bound to cover the higher of the amounts of compensation awarded to the extent of the number of passengers covered....
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