SUNITA LOKHANDE Vs. NEW INDIA ASSURANCE CO LTD

JUDGEMENT

(1.) THIS is a reference made by a Division Bench of this court in this M. A. for reconsideration of the decision rendered by another Division Bench in Oriental Insurance Co. Ltd. v. Jamna bai, 2003 ACJ 127 (MP ).

(2.) THE facts of the case in the miscellaneous appeal which has necessitated the reference are that on 3. 5. 1997 when bhanwar Lal Lokhande was travelling in the truck bearing registration No. CIB 3490, the truck turned turtle and in the accident bhanwar Lal Lokhande sustained injuries and eventually died. The legal heirs of the deceased Bhanwar Lal Lokhande instituted claim Case No. 14 of 1997 before the motor Accidents Claims Tribunal, Betul claiming an amount of Rs. 7,77,500 as compensation against New India assurance Co. Ltd. which had insured the truck. The truck was owned by Bhanwar Lal lokhande and his brother Umesh Kumar lokhande and, therefore, the insurance company contended before the Tribunal that the insurance company was not liable to indemnify the owners of the truck or their legal heirs and that the insurance company was only liable under the policy read with section 147 of the Motor Vehicles Act, 1988 (hereinafter referred to as 'the Act') to pay compensation to the third party. The Tribunal upheld the contention of the insurance company and dismissed the claim petition.

(3.) AGGRIEVED, the legal heirs of Bhanwar Lal Lokhande, filed M. A. No. 2461 of 1999 before this court. Before the Division bench hearing the M. A. , the appellants relied upon a decision of Division Bench of this court in the case of Oriental Insurance co. Ltd. v. Jamna Bai, 2003 ACJ 127 (MP ). In Jamna Bai's case, the facts were that the deceased was the owner of tractor along with Apa. The deceased, however, was not travelling in the tractor insured with the insurance company. The tractor was being driven by a driver appointed by apa and when the tractor was being taken towards the land, the deceased was injured. On these facts, the Division Bench held that deceased fell within the definition of 'third party'. The Division Bench further found that under the policy of insurance of that case, besides normal premium, the deceased had paid Rs. 150 against 'own damages'. The Division Bench held that the insurance company was liable to pay compensation on the death of deceased umrao Singh.