Wednesday, July 15, 2009

MOTOR INSURANCE: TRIBUNAL CAN AWARD MORE THAN ASKED FOR

The Supreme Court has dismissed the appeal of the National Insurance Company against the award of compensation in a road accident death, and ruled that the accident claims tribunal can award damages more than asked for by the dependant of the victim. In this case, a technician of Maruti Udyog Ltd died in a road accident because of the negligence of the driver of a truck insured by National Insurance. The widow and her two children sought Rs. 20 lakh as compensation from the truck owner. The tribunal awarded Rs. 22 lakh, to be paid by the insurer. It appealed to the Punjab and Haryana high court, without success. Its appeal to the SC also was rejected. The judgement emphasized that the tribunal has powers to give more than asked for.

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