K.KANNAN
National Insurance Company Limited – Appellant
Versus
Chand Chhabra – Respondent
K.Kannan, J.
1. (3rd August, 2010) - The insurance company challenges the liability on the ground that the vehicle had been actually transferred and the same had not been brought to the notice of the insurer. The contract of insurance will come to an end and the liability could not be fastened on the insurer. It was the further contention of the insurance company that one of the witnesses on the side of the claimant, Sunder Singh PW4, had admitted that all the passengers in the car had hired it as a taxi and the accident had taken place by the negligent driving of the driver of the taxi. The last contention raised was that the Tribunal determined the compensation at Rs.3,16,000/- for the representatives of the decease, who was 37 years of age. The Tribunal adopted a multiplier of 16, which was high and runs counter to the several decisions of the Honble Supreme Court with regard to the quantum and choice of multiplier.
2. On the issue of liability of the insurer notwithstanding the transfer of the vehicle, the matter has been finally settled by a decision of the Honble Supreme Court in United India Insurance Co. Ltd. Shimla v. Tilak Singh and others, (2006-2)143 P.L.R. 297
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