NEW INDIA ASSURANCE CO LTD Vs. R ANAND

JUDGEMENT

(1.) THESE two appeals arise out of the judgment and award dated 4. 8. 2003 passed in M. V. C. No. 3429 of 2001. M. F. A. No. 6637 of 2003 is filed by the insurer. M. F. A. No. 7934 of 2003 is filed by the claimant seeking enhancement of the compensation awarded.

(2.) THE claimant-appellant while travelling as a pillion rider of a motor cycle, met with an accident on 16. 7. 2001 and sustained personal injuries. Accident occurred on account of the negligence of rider of the motor cycle. In respect of the motor cycle in question, the insurer had issued an Act policy which is marked at Exh. R1. The Claims Tribunal has awarded a compensation of Rs. 1,41,992 payable with interest at 8 per cent per annum from the date of petition till the date of payment and directed the insurer to pay the compensation. Hence, the insurer is in appeal seeking exoneration of the liability on the ground that the statutory Act policy issued at Exh. R1 does not cover the risk of a pillion rider. Per contra, the claimant contends that the compensation awarded by the Tribunal is low and hence, seeks enhancement of the compensation.

(3.) LEARNED counsel for the claimant-appellant relied on the rulings of this court in Dr. S. Jayaram Shetty v. National insurance Co. Ltd. , 2002 ACJ 2054 (Karnataka); new India Assurance Co. Ltd. v. Rajendra Singh, 2000 ACJ 1039 (Karnataka)the Division Bench decision of andhra Pradesh High Court in United India insurance Co. Ltd. v. Parpudi Krishna kumari, 2004 ACJ 624 (AP), to contend that first and second party to a contract of insurance constitute the insured and the insurer. Beneficiary of the insurance and not a party to the contract of insurance is a third party.