NEW INDIA ASSURANCE CO. LTD Vs. PUSHPA DEVI

JUDGEMENT

(1.) THIS appeal under Section 178 of the Motor Vehicles Act, 1988, has been preferred by the New India Assurance Company against the Award dated 7.5.1991 passed by the Motor Accident Claims Tribunal Gwalior.

(2.) BRIEFLY , the facts are that Shri Krishna Agrawal who was riding on Luna Moped bearing registration No. URI 2193 collided with Fiat Car No. MBW 126 in which he lost his life. The claims Tribunal by the impugned award determined a sum of Rs. 1,08,000/-as compensation to be paid jointly by the appellant-Insurance Company and the owner of the Fiat Car, respondent No. 4.

(3.) WE have looked into the terms of the Insurance Policy which is on record. The learned Counsel submits that the Insurance Policy refers to the provisions of Section 95(2)(b) of the Motor Vehicles Act, 1949 and it is clear that the liability of the Insurance Company was limited to an amount of Rs. 50,000/-. Section 95(2)(b)(i) on which reliance is placed reads as under: