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Judgment
PARTIES have extensively argued the case. The main issue is whether the insured person can get compensation from the Insurance Company in case of violation of the clause and conditions of insurance in respect of the number of persons travelling in the car. It appears that this clause is not consistently enforced. The parties after realising all the aspects of the case and their implications have made before us the following endorsement and prayed for an order in terms thereof. "Without prejudice to our objections in the appeal we agree to pay a sum of rupees twenty thousand only (Rs. 20,000/-) as full and final settlement and satisfaction of claim amount".
Sd/- Appellant Sd/- Counsel for the Appellant. "I consent to the settlement" Sd/- Counsel for the respondent No. 1.
WE wish to observe that the clause regarding the number of passengers should be high-lighted by the Insurance Companies at the time of each renewal since the clause does not appear to have been fully understood by the insured persons. The owners of commercial vehicles will also be well advised, when their vehicles are indented, to give a slip to the indenting persons informing them about the clause relating to the maximum number of the passengers and give a copy of the slip to the driver with instruction of strict implementation. We are constrained to make the above remarks on account of the fact that over-loading may be a cause for the accident which could be easily avoided.
With the above remarks an order is passed in terms of the endorsement made by the parties. No costs. Order passed.