IN THE HIGH COURT OF MADHYA PRADESH
Vivek Agarwal, J.
National Insurance Co. Ltd. v. Smt. Sunita Tiwari & Others
Miscellaneous Appeals No. 3831 of 2019, 3830 of 2019, 3832 of 2019, 3833 of 2019, 3834 of 2019, 3835 of 2019, 3836 of 2019, 3837 of 2019, 497 of 2021 and Civil Revision No. 449 of 2019 (Jabalpur) : against the award dated 16.4.2019 passed in Claim Cases No.9/2014, 85/2014, 105/2014, 12/2013, 10/2013, 104/2014, 66/2014, 96/2014, 53/2014 and 146/2013 by the II Motor Accident Claims Tribunal, Satna; Decided on 30.1.2023
Motor Vehicles Act, 1988 -- S. 149 -- breach of conditions of policy -- alleged by Insurance Company that offending vehicle was stolen and was being driven by unauthorised person ‘A’ -- vehicle comprehensively insured -- even if theory of theft is accepted, Insurance Company liable to pay compensation -- cannot be exonerated from liability especially when it failed to lead any evidence to prove theft, or vehicle being driven by unauthorised person, or violation of any specific term & condition of policy. (2008) 11 SCC 259 followed. 2014 ACJ 1165 (All.), AIR 1980 AP 18 and ILR 2015 Kar. 4759 relied on. 2005 ACJ 1399 referred to.
[Paras 5, 8, 9 & 12
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ORDER
1. Miscellaneous Appeal No.3831/2019, Miscellaneous Appeal No.3830/2019, Civil Revision No.449/2019, Miscellaneous Appeal No.3832/2019, Miscellaneous Appeal No.3833/2019, Miscellaneous Appeal No.3833/2019, Miscellaneous Appeal No.3835/2019, Miscellaneous Appeal No.3836/2019, Miscellaneous Appeal No.3837/2019 & Miscellaneous Appeal No.497/2021 have been filed by the National Insurance Company Limited being aggrieved of award dated 16.4.2019 passed in Claim Case No.9/2014, Claim Case No.85/2014, Claim Case No.105/2014, Claim Case No.12/2013, Claim Case No.10/2013, Claim Case No.104/2014, Claim Case No.66/2014, Claim Case No.96/2014, Claim Case No.53/2014, Claim Case No.146/2013 by the II Motor Accident Claims Tribunal, Satna on the ground that the Claims Tribunal while allowing the claim petitions and passing the impugned award overlooked the fact that the Truck bearing registration No.UP90-T-3044 owned by Rajendra Kumar Gautam (Non-Applicant No.3) and insured with National Insurance Company Limited (Appellant Herein) was authorised to be driven by Ram Naresh Kushwaha (Non-Applicant No.2) but Unauthorised Driver Arjun Kashyap (Non-Applicant No.1) had driven the said Truck rashly & negligently and while coming from the side of Unchehara had dashed it in Chowk Bazar crushing several Scooters, Bikes & Handcarts, as a result of which, some people died and several received injuries.
2. The allegation is that on 6.8.2013 at 4:45 PM, when the offending Truck was being driven by Ram Naresh Kushwaha, who was travelling with his Cleaner Pintu Gautam at Village Piprikala, there was a road block and the Driver of the Offending Truck was waiting for clearing of the traffic blocked, at that time, Arjun Kashyap armed with a Screw Driver in one hand and Vegetable Knife in another hand boarded the Truck and tried to hit Pintu Gautam, as a result of which, the Truck Driver Ram Naresh Kushwaha left the Truck leaving the keys intact in the ignition and Arjun Kashyap took control of the Truck and started driving resulting in the said accient.
3. The contention put forty by learned counsel for National Insurance Company Limited is that the Truck was being driven by an unauthorised person, therefore, National Insurance Company Limited is not liable to pay compensation. She places reliance on Division Bench Judgment of this Hon'ble High Court in United India Insurance Company Limited versus Kishorilal & Others 2005 ACJ 1399 to contend that in the said case, the keys of the vehicle were snatched from the Driver by respondent No.6 Santosh Gupta and he drove the vehicle causing the accident, therefore, the Insurance Company was not held liable to indemnify the owner.
4. Learned counsel for the claimants, on the other hand, places reliance on the Judgment of Hon'ble Karnataka High Court in Manager, Bajaj Allaianz General Insurance Company Limited versus Bhimraj & Another I.L.R 2015 Karnataka 4759, the judgment of Hon'ble Division Bench of the High Court of Judicature at Allahabad in National Insurance Company Limited Through Its Regional Manager versus Smt.Golana & Another 2014 ACJ 1165 and the judgment of Hon'ble the Supreme Court in National Insurance Company Limtied versus Nitin Khandelwal (2008) 11 SCC 259 to contend that merely a fact that the vehicle was stolen will not result in exoneration of the Insurance Company from its liability. He also submits that the vehicle was insurned. The liability is for an untoward incident taken place from the said vehicle and the compensation will not be dependent on whether the vehicle was stolen or not. He further submits that the Insurance Company has not examined any witness to point out as to which of the term & condition of the Insurance Policy was violated on the vehicle being stolen and taken away by Arjun Kashyap (Non-Applicant No.1). Neither any investigation report nor statement of any of the witnesses are available on record, therefore, the Insurance Company having failed to prove breach of terms & c
(1) The insurer is required to enquire from the claimant as to what was the reason or the delay in submission of the claim. The claim should be rejected only where the insurer finds that it was liabl....
The repudiation of an insurance claim based on alleged contradictions in statements is unjustified if there's substantive evidence supporting the claim and no violation of policy terms.
The registered owner and the insurance company are jointly and severally liable to pay compensation for an accident involving a motor vehicle, even if the vehicle was stolen.
Insurers are statutorily liable to pay compensation to third parties despite breaches of policy conditions unless the insured's negligence is proven to be fundamental.
An insurance claim for theft cannot be settled on a non-standard basis (partial payment) unless the insurer proves a fundamental breach of policy conditions or clear contributory negligence by the in....
The driver of the offending vehicle does not qualify as a third party under an Act policy; thus, the insurance company is not liable for compensation.
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