Vijender Jain, J.

1. The present appeal under clause X of the Letters Patent preferred by United India Insurance Co. Ltd. is directed against judgment dated 26.5.94, passed by learned single Judge in F.A.O. No. 989 of 1984.

2. The sole ground of challenge is that the appellant, which had insured the vehicle of the deceased, could not be held liable to pay compensation to the legal heirs of the insured, who lost his life in an accident while travelling in the said vehicle on 28.10.1982.

3. The plea is based on the premise that the deceased being the occupant of the vehicle in question which was insured by the appellant, could not claim any compensation from it as he was not a third party to be covered under the terms of the policy.

4. While arguing in support of the aforesaid contention, learned counsel for the appellant placed reliance on the judgments of the Apex Court in United India Insurance Co. Ltd. V/s. Tilak Singh, 2006 ACJ 1441 (SC) and National Insurance Co. Ltd. V/s. Laxmi Narain Dhut, 2007 ACJ 721 (SC).

5. On the other hand, learned counsel for the respondents contended that as per the terms of the policy of insurance, the driver of the vehicle was also covered a