DIVISIONAL MANAGER Vs. MONALITA MAHARANA

JUDGEMENT

(1.) The Appellant-Insurance Company has filed this appeal challenging the award dated 13.1.2009 passed by the Learned 5th M.A.C.T., Nayagarh in MAC No. 27 of 2005. The facts leading to the present appeal are as follows:

(2.) On analyzing the evidence on record, the Tribunal recorded the finding that due to rash & negligent driving of the driver of the offending vehicle, the accident took place & deceased Niranjan Maharana succumbed to his injuries. The offending vehicle had a valid insurance policy covering the date of accident. In view of Section 146 of the M.V. Act, 1988, the offending vehicle had a valid insurance policy. Accordingly, the insurance policy covered against third party risk & the policy Ext. A does not limit the liability of the insurance company for the death of the deceased as provided under Section 147 of the M.V. Act. The deceased was aged about 38 years as per the service book. Accordingly, the Tribunal applying' 16 multiplier assessed the compensation at Rs. 13,53,500 in toto & directed that the Insurance Company is liable to pay the compensation.

(3.) Learned Counsel for the Appellant-Insurance Company submitted that the offending vehicle is a private car & as per the insurance policy, the liability of the Insurance Company is limited to Rs. 50,000 only since the vehicle was insured under the contractual policy. The risk of occupants of the car can be covered on payment of additional premium. Therefore, the impugned award is liable to be set aside so far as the payment of entire compensation by the Insurance Company is concerned.