High CourtsSingle Bench(2005) 10 KAR CK 0010

Havappa, K. Raju and Smt. Nagamma vs Md. Asad Ali and The United India Insurance Co. Ltd.

Karnataka High Court · Decided on 21 October 2005 · Citation: (2006) ACJ 2366

HON’BLE JUDGES
K. Sreedhar Rao, J
RESULT
Dismissed
CASE NUMBER
Miscellaneous First Appeal No. 3332 of 2001

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Judgment

4 paragraphs · 301 words

K. Sreedhar Rao, J.—Petitioners in M.V.C. No. 3 9 2/19 95 are the husband, son and mother or one Vidyawathi who died in a motor vehicle accident. Deceased was working as a Coolie. Her income is to be assessed at Rs. 1,500/- per month.

2.

On re-examination, of facts and evidence, as par unit system, one-fourth, i.e., Rs. 375/- shall be deducted front the income of the deceased towards her personal expenses. The total loss of dependency comes to Rs. 1,75,500/- (1125 X 12 X .13). petitioners are entitled to Rs. 10,000/- towards loss of expectancy of life, and Rs. 3,000/- towards funeral expenses. In all, petitioners are entitled for a compensation of Rs. 1,88,500/- as against of Rs. 1,70,000/- awarded by the Tribunal. the enhanced compensation carries interest at 6% par annum .from the date of petition till payment.

3.

The Counsel for the respondent-insurer contends that the deceased was a passenger in a goods vehicle and that the insurer does not incur any liability to pay the compensation. However, in view of the decision of the Hon''ble Supreme Court in New India Assurance Company Vs. Shri Satpal Singh and Others, , the insurer has satisfied the award amount. But, the insurer is not liable to pay the enhanced compensation, in view of the absence of the legal liability, as per the ratio laid down by the Hon''ble supreme Court in the Case of New India Assurance Co. Ltd. v. Asha Rani and Ors. (2003) 2 SCC 223. The contention is well founded. The insurer is entitled to resist the liability to pay enhanced compensation even without filing an appeal and can support the Tribunal''s Order.

4.

Accordingly, the appeal against the insurer is dismissed. The enhanced compensation with interest shall be payable by the insured-owner of the offending vehicle.