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Judgment
(A. Muhamed Mustague, C.J.)
This Appeal has been preferred by the Insurer-Appellant Company challenging an Award of compensation passed in MACT Case No. 37 of 2019 by the Motor Accidents Claims Tribunal, Gangtok, Sikkim.
The Appellant Company was asked to pay a total compensation of Rs. 28,29,000/- (Rupees Twenty-Eight Lakhs and Twenty-Nine Thousand only) together with 10% interest per annum from the date of filing of the petition to the Claimant-Respondent.
Brief facts involved in this case are as follows:-
The Claimant is the mother of the deceased son. The deceased was an Electrical Engineer graduate from National Institute of Technology, Sikkim and it is claimed that his monthly income would have been Rs. 18,000/- per month.
On 17.08.2017, the deceased was travelling in a vehicle bearing registration No.SK01PB2044. The vehicle plunged down from the road, resulting in instantaneous death of the son of the Claimant. The deceased was a bachelor.
The vehicle had a valid insurance policy effective from 13.10.2016 to 12.10.2017, covering the date of accident. It was a private car package policy. In the policy itself, it is mentioned that the liability covers unnamed persons and premium was collected accordingly. The Learned Tribunal also found that it was a valid policy.
In this Appeal, learned counsel for the appellant, relying on the judgments of the Apex Court in United India Insurance Company Limited, Shimla vs. Tilak Singh and Others1 and National Insurance Company Limited vs. Balakrishnan and Another2 would argue that a passenger travelling in the vehicle cannot claim third-party compensation. Therefore, the insurance company cannot be made liable to pay the compensation. It is further argued that there is no involvement of any other vehicle, and therefore the passenger travelling gratuitously cannot claim the compensation. The dependents of the passenger who was travelling gratuitously also cannot claim compensation.
This Court notes that the above judgments are related to claim under the Act policy. In such circumstances, the claim of the third party alone would be admissible under law for claiming compensation from the insurer.
This Court notes that it is a package policy. That means it is a comprehensive policy that covers the passengers in the vehicle itself.
Learned Counsel for the Respondent placing reliance on The New India Assurance Co. Ltd. vs. Hemlata Lucksom and Another3 submits that this Court has considered the matter in detail and found that the passengers are also covered.
In Hemlata Lucksom (supra) this Court considered a similar issue relating to a passenger travelling in a car and held that under the package policy, the passengers are entitled to claim compensation against the insurer.
I find no reason to differ with the judgment of this Court.
Taking note of the premium collected by the insurance company under the policy, the Tribunal was justified in ordering the liability to pay compensation by the Insurer.
No other issue arises for consideration.
Accordingly, the appeal stands dismissed.
No order as to costs.
Pending Interlocutory Application(s), if any, stand also disposed of.
Trial Court records be remitted back.