Negligence of driver of offending vehicle can’t be taken as defence by Insurance Company in claim petition, under Sec. 163-A of MV Act, reiterates P&H HC

Read Order:  United India Insurance Co. Ltd v. Geeta and others  vs. Sree Sankaracharya University of Sanskrit & Anr. 

LE Staff

Chandigarh, November 9, 2021: The Punjab and Haryana High Court has recently dismissed an Appeal, filed by an Insurance Company, challenging an Award passed by the Motor Accident Claims Tribunal, Panipat, whereby the claim of the heirs of the driver of the offending vehicle under Section 163-A of the Motor Vehicles Act, 1988, had been allowed. 

The main ground taken was that the successors of the tortfeasor couldnot be granted any compensation.

It was submitted that the deceased person was the driver of the offending Scorpio vehicle. The said driver had been found negligent in driving the vehicle and causing the death of some of the occupants thereof by causing an accident. Thus, his heirs would not be entitled to claim any compensation. 

It was also contended that the Tribunal had erred in allowing their claim petition.

The Appellant’s counsel had also referred to two judgments in the case of National Insurance Company Limited vs. Sinitha and others and United India Insurance Company Limited vs. Sunil Kumar and another.

The Bench of Justice Sudhir Mittal opined that the judgment in Sinitha (supra) supported the argument of counsel for the appellant whereas the judgment in Sunil Kumar (supra) was against him. 

According to the Bench, the judgment in Sunil Kumar (supra) was by Three-Judges Bench and was a later decision and thus, the same would prevail.

“According to the said judgment, negligence of the driver of the offending vehicle cannot be taken as a defence by the Insurance Company in a claim petition filed under Section 163-A of the said Act, noted the Court.

Thus, the Appeal was held to be devoid of merit and was dismissed.