UNITED INDIA INSURANCE CO. LTD. Vs. VALLIAMMAL

JUDGEMENT

(1.) THE first appeal, that is, C.M.A. No. 35 of 1988 has been preferred by the insurance company against the award of compensation for the death of one Palanisamy in a motor accident that took place on 21.9.1985. A compensation was claimed at Rs. 1,25,000. But the Tribunal has awarded Rs. 30,000 to the claimant, the mother of the deceased Palanisamy. The insurance company has preferred the first appeal contending that there is no liability on its part since insured was the driver of the vehicle at the time of the accident. The other appeal C.M.A. No. 336 of 1988 has been filed for higher compensation.

(2.) THE question to be decided in both the appeals is important. Whether a person who is the owner of a vehicle, if met with an injury or death, is liable to be indemnified? In this case, the fact is that Palanisamy was driving the truck and he was the owner of the same which is not disputed. The accident has taken place on account of the rain and the truck skidded and dashed against a tamarind tree, resulting in the death of Palanisamy and causing permanent disablement to another by name Ramasamy.

(3.) A reading of Section 95(1)(b)(i) shows that the policy should be taken for any liability which may be incurred by him in respect of the death of or bodily injury to any person or damage to any property of a third party caused by or arising out of the use of the vehicle in a public place. Therefore, emphasis is on incurring liability. For a person who himself drives the vehicle and gets injured or dead, there is no question of his incurring liability. Of course, it is open to him to have policy for his life but such a policy is not contemplated under Section 95.