Insurer not liable for death of man other than driver in Goods Vehicle (Three Wheeler Carrier)

The Delhi high court has held that insurance companies are not liable to pay compensation for accidental death of a person who is sitting along with the driver of a three-wheeler goods carrier.

"There is no liability of the insurer of the offending vehicle (three-wheeler goods carrier) to pay the compensation in case of a gratuitous passenger as there is no liability at all of the insurance company under the Motor Vehicles Act, 1988," Justice GP Mittal said.

The court said only driver is allowed to sit in a three wheeler goods carrier and others sitting along with him cannot be compensated in the event of a mishap.

"A perusal of the insurance policy, shows that the three wheeler had the sitting capacity for just one person (driver), it was not permissible for the driver to share the seat, thus there was a violation of the condition of the contract of insurance," Justice Mittal held.

The court asked the family members of deceased Bhonu Sahni to claim compensation from the owner and the driver.

"The family members of the victim shall be entitled to recover the compensation from the vehicle's driver and owner," it said.

The court's judgement came on the plea of Bajaj Allianz Insurance Company Ltd, which had challenged the verdict of a Motor Accident Claims Tribunal asking it to pay a compensation of Rs 12.25 lakhs to the victim's family members.

Sahni met with an accident on April 13, 2009, while travelling in the tempo seating beside the driver and later died at a hospital here.

The court allowed the insurer's plea that it was not liable as the deceased was sharing seat with the driver, which was not permissible.