NEW INDIA ASSURANCE CO LTD Vs. JAYANTI

JUDGEMENT

(1.) The questions raised for consideration in this appeal are, whether the owner of the vehicle could remit the policy premium on an earlier date and then opt for a future date for the commencement of the insurance policy, when the existing policy had already expired, if so, is it not against the mandatory provision under section 146 of the Motor Vehicles Act (in short 'the Act') , and in such situation, whether the insurer could allow the insured to have his vehicle plied without a policy in force for that vehicle. If that be so, is not such a contract between the insurer and the insured against the public policy and public interest and also what is the impact of such insurance policy on the third party.

(2.) Applicant Nos. 1 to 4, respondent nos. 1 to 4 herein, are the legal representatives of one Kamaladharan, who met with a motor vehicle accident on 10. 1. 2000 at about 3. 30 p. m. and died consequently. A claim as O. P. (MV) No. 430 of 2000 had been preferred before the Motor Accidents Claims Tribunal, Attingal (in short 'the Tribunal') , pending the claim petition under section 140 of the Act, an interim award of Rs. 50,000 was allowed. New india Assurance Co. Ltd. , respondent No. 3, was directed to deposit the same within two weeks from the date of the interim award, i. e. , 20. 5. 2002. The same is being challenged by the insurance company on the ground that policy was taken only at 12. 14 p. m. (noon) on 10. 1. 2000 proposing to have the insurance coverage operative from 11. 1. 2000 to 10. 1. 2001 and, therefore, the accident that occurred at 3. 30 p. m. on 10. 1. 2000 is not covered by the insurance policy, which would have started only from 11. 1. 2000.

(3.) I have elaborately heard advocate mr. P. R. Ramachandra Menon for the appellant, advocate Mr. George Varghese perumpallikuttiyil for respondent No. 5 and advocate Mr. Nagaraj Narayanan for the claimants-respondent Nos. 1 to 4.