The High Court of Uttarakhand allowed appeals in part. It upheld the insurer's liability to pay compensation for a motor accident survivor/death despite the driver's expired license, directing that recovery be had from the vehicle owner.
Insurance company to recover entire compensation from vehicle owner via execution proceedings.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
IN THE HIGH COURT OF UTTARAKHAND AT NAINITAL
AO No. 80 of 2010
National Insurance Company
......….......Appellant
Mr. Prabhat Pande, Adv. for the appellant
-versus-
Hari Singh Rawat and others
……...Respondents
Mr. D.C.S.Rawat, Advocate for the respondent
With
CROSA No. 08 of 2018
Smt. Mandodari Devi
.......….......Appellant
Mr. D.C.S.Rawat, Adv. for the appellant
-versus-
National Insurance Company Ltd. and others
……...Respondents
Date of hearing and Judgement : 08.11.2021
Sri S.K.Mishra, J.
1. These two appeals arises out of a common judgment and order passed by the Motor Accident Claims Tribunal/District Judge, Pauri Gahrwal in Motor Accident Claims Petition No. 103 of 2005, Hari Singh & others vs. Rajendra Singh and another.
2. As preferred appeal no. 80 of 2010, the legal heirs of the deceased being the private opposite parties, were the claimants before the Tribunal. The applications were filled under Section 166 of the Motor Vehicles Act, 1988 for compensation arising
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out of the death of the deceased Surendra Singh Rawat.
3. On the fateful day i.e. 04.09.2005, late Surendra Singh Rawat was travelling in a vehicle No. U.P.061753 from Chaurikhal to his place of working Khirsu. It is alleged that during the travel, the driver drove the vehicle very rash and negligent manner, hence, near village Chhoya, it met with an accident and fell into a gorge 150 meters below the road. The deceased Surendra Singh Rawat suffered serious injuries and he succumbed to the injuries in District Hospital, Pauri Garhwal. It is also not disputed that at the time of his death, he was aged about 22 years old. The claimant claimed that Rs.5000/-per month was his earning at the time of his death. He was working as a muster roll employee of the Garhwal Vikas Nigam Limited.
4. After taking the evidence, in this case, the learned Judge Presiding the Tribunal allowed the application and directed the insurer to pay a sum of Rs. 3,50,000/-. He took the age of the deceased to be 22 years and his monthly income to be 2,500/- per month for the purpose of calculation of compensation. However, the Tribunal decided that 1/3 should be reduced and also took into consideration the multiplier of 17. He came to the conclusion that amount to be of 3,40,000/-. The Tribunal also awarded loss of estate, loss of consortium and funeral expenses as 10,000/- and directed that Rs. 3,50,000/- to be paid to the petitioner by the Insurance Company as the vehicle was ensured to the Insurance Company.
5. In assailing the findings recorded, the learned Advocate appearing for the Insurance Company
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submits that the documents produced before the Court reveals that on the date of occurrence, the driver Girish Chandra Rawat was not having a valid licence in the sense that the occurrence took place on 14.09.2005, whereas on that date there was no renewal of the driving license of the driver Girish Chandra Rawat. It was renewed on 30.09.2005. Before that there was no renewal of the driving license. It appears from the record that last renewal of the driving license was on 29.09.1983. Thus, it is contended that as the driver of the offending vehicle had no valid driving license on the date of occurrence, there was a violation of the terms and conditions of the insurance policy issued in favour of the owner of the vehicle. Hence, the Insurance Company cannot be directed to indemnify the claimant for the loss they have suffered because of the death of the deceased.
6. None appears for the owner of the driver of the vehicle though there has been sufficiency of notice to him.
7. The learned counsel for the claimant/opposite party who have preferred a counter appeal in this case, also does not dispute the facts. Learned counsel appearing for the claimant/appellant claims that the amount of compensation has been granted less and it should be considerably increased.
8. As per the documents 20 (ga), the monthly income of the deceased is 2,500/- reducing it by 1/3 i.e. 800/- approximately, the contribution to the family comes to about 1700/- per month, which result in Rs. 20,400/- as annual contribution to the family. This annual loss to the family of Rs. 20,400/- is multiplied by 18, the resultant would be Rs. 3,66,200/-. Thus, 3,66,200/- is the compensation to
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be paid to the appellant. In addition to the aforesaid compensation, the claimants are entitled to Rs. 20,000/- for loss of consortium, Rs. 75,000/- for loss of estate and Rs. 10,000/- for funeral expenses, which in total comes to Rs, 4,04,700/- rounded upto 4,10,000/-, out of which, Rs.3,50,000/- has already been paid. Rest Rs. 60,000/- should be paid by the Insurance Company within two months along with the interest at the rate of 6 % from the date of filing of the appeal i.e. 11.03.2010.
9. It is further directed that as there has been violation of the policy conditions of the Insurance Policy, as the offending driver had no valid driving license at the relevant time, the insurance company should have right to recover the same from the owner. Accordingly, it is directed that the insurance company shall recover the entire amount of Rs. 4,10,000/- along with interest which is paid to the claimant by adopting appropriate proceedings for execution.
10. Both the appeals are allowed in part.
11. There shall be no order as to costs.
12. Urgent certified copy of this order be granted on proper application.
(S.K.Mishra) Judge
KKS
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1 issue framed by the court
Whether the insurance company is liable to pay compensation despite the driver lacking a valid license on the date of the accident.
National Insurance Company
Hari Singh Rawat and others
Smt. Mandodari Devi
National Insurance Company Ltd. and others
S.K.Mishra
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
