ORIENTAL INSURANCE COMPANY LTD Vs. KUMARI BAI

JUDGEMENT

(1.) The appellant/Insurance Company has preferred this appeal under Section 173 of the Motor Vehicles Act, 1988 challenging the award dated 3.5-2001 passed by the Additional Motor Accident Claims Tribunal, Durg (for short 'the Claims Tribunal') in Claim Case No. 21/1997 whereby the liability of payment of compensation has been fastened upon the appellant/Insurance Company to indemnify the award of Rs. 4,48,272/- along with interest @ 6% per annum from 16.12.2000 till its actual payment. Necessary facts required for adjudication of this appeal are as under:

(2.) Learned Claims Tribunal, after appreciating oral and documentary evidence available on record, partly allowed the claim petition and granted compensation to the tune of Rs. 4,48,272/- along with Interest @ 6% per annum from 16.12.2000 till its actual payment. The Claims Tribunal also recorded a finding that the Insurance Policy issued in the case in favour of owner is a comprehensive policy which cover the risk of pillion rider sitting in the offending vehicle and held that in view of judgment of the Supreme Court in case of New India Assurance Company Limited Vs. Satpal Singh & others, 2000 AIR(SC) 235appellant/Insurance Company is liable to make payment of compensation.

(3.) Shri Abhishek Sinha, learned counsel appearing for the appellant/Insurance Company by placing reliance upon the judgment of Supreme Court in case of United India Insurance Co. Ltd. Shimla Vs. Tilak Singh and others, 2006 4 SCC 404would submit. That policy of Insurance (Ex. D-3) issued by the Insurance Company in favour of the original owner of the vehicle was not the comprehensive policy but it is only motor cycle policy i.e. act only policy which has been duly proved by examining Shri Rajendra Vaishnava (DW-1)-Assistant Administrative Officer of the Insurance Company and, therefore, the finding recorded by the Claims Tribunal holding that the policy is comprehensive policy covering the risk of pillion rider in the offending vehicle deserves to be set aside. He further submits that the act only policy issued by the appellant/Insurance Company in favour of the original owner was not covering the risk of pillion rider sitting in the vehicle. He lastly submits that as per Circular dated 25.11.2009 issued by the Head Office, New Delhi, the vehicle insured under Motor Package Policy is also called as Comprehensive Policy, which covers the risk of pillion rider sitting in the vehicle.