NATIONAL INSURANCE COMPANY LIMITED Vs. KANTA RANI JUNEJA

JUDGEMENT

(1.) ADMIT.

(2.) With the consent of the parties, matter has been heard and disposed of by this order.

(3.) The appellant-insurance company has filed this appeal to challenge the award of the tribunal whereby the tribunal has directed the insurer to satisfy the award despite the driver of the offending vehicle did not having a valid driving licence to drive the heavy transport vehicle on the date of the accident. The contention of Mr.Seth appearing on behalf of the appellant is that as there being a wilful breach of the conditions of contract of insurance by the insured by permitting the driver who did not have a valid driving licence to drive the heavy transport vehicle, the insurance company could not be held liable to pay compensation under the award to the claimants. It is also submitted that even assuming the insurance company was liable to pay compensation under the award, the tribunal ought to have given a direction to the insured to pay such compensation to the insurance company. For this, Mr.Seth has placed reliance upon the observations of the Supreme Court in New India Assurance Co. Ltd. Vs. Kamla and others (2001) 4 SCC 342.