NEW INDIA ASSURANCE COMPANY versus SHRI SATPAL SINGH AND ORS.

NEW INDIA ASSURANCE COMPANY versus SHRI SATPAL SINGH AND ORS.

Section 147 of the Motor Vehicles Act, 1988 requires insurance policies to cover third party risks, including gratuitous passengers, so the insurance company is liable for compensation in such cases.

Parties
Appellant: New India Assurance Company; Respondents: Shri Satpal Singh and Ors.
Jurisdiction
India
Judgment Date
02 December 1999
Procedural Posture
Civil Appeal / Supreme Court Decision on Appeal From Himachal Pradesh High Court
Outcome
Appeals dismissed
Legal Topics
Compensation for Death, Third Party Risk, Liability for Gratuitous Passengers

Case Brief

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Parties

New India Assurance Company

Appellant

Shri Satpal Singh and Ors.

Respondents

Procedural Posture

Civil Appeal / Supreme Court Decision on Appeal From Himachal Pradesh High Court

  1. 1 Whether the Insurance Company is liable to pay compensation for death of a gratuitous passenger under the Motor Vehicles Act, 1988

Ratio Decidendi

Section 147 of the Motor Vehicles Act, 1988 requires insurance policies to cover third party risks, including gratuitous passengers, so the insurance company is liable for compensation in such cases.

Court Disposition

Appeals dismissed

Orders

  • Insurance company held liable for compensation as per Section 147, Motor Vehicles Act, 1988