Case Note & Summary
The first appeal arose from dismissal of a claim petition by the Motor Accident Claims Tribunal, Kolhapur. The appellants, minor children and mother-in-law of the deceased, sought compensation from the owner of the motorcycle, the insurer, and the husband of the deceased. The deceased was travelling as a pillion rider with her husband who was riding the motorcycle and their two minor children on 03.08.2011 at about 4:30 p.m. While proceeding from Chafodi to Waghapur, the deceased's saree got entangled in the rear wheel of the motorcycle due to fast wind, causing the motorcycle to skid and all occupants to fall. The deceased suffered head injury and died. The police registered offence against the husband. The Tribunal dismissed the claim petition on grounds that the accident occurred due to sole negligence of the husband and that carrying four persons on the motorcycle breached policy conditions; it also held no rash and negligent driving was proved. The appellants argued before the High Court that the death was accidental, the Tribunal wrongly dismissed the claim, and the deceased earned Rs.4,000 per month from milk business. The insurer argued that four persons were not permitted on the bike and that without involvement of another vehicle the incident could not be considered an accident, and there was breach of policy terms. The High Court examined the evidence and found that the term 'accident' is not defined in the Motor Vehicles Act but as per Lexis Nexis means a sudden unforeseen or unexpected event causing harm; accident includes collision, overturning or slipping. It held that involvement of another vehicle is not necessary to constitute an accident. The Court observed that the deceased fell from the insured motorcycle due to saree entanglement; the death was an accident arising from use of the motorcycle. On the issue of four riders, the Court noted the deceased, husband, and two minor children aged about three years were travelling and it could not be considered a breach of policy terms. On quantum, the Court assessed monthly income of the deceased as Rs.2,000 based on milk supply evidence, added 40% future prospects, applied multiplier of 18, awarded consortium of Rs.1,92,000, loss of estate Rs.18,000 and funeral expenses Rs.18,000, totaling Rs.8,32,800. After adjusting Rs.50,000 appearing as awarded by the Tribunal, the enhanced compensation payable was Rs.7,82,800 with interest at 7.5% per annum from the date of filing the claim petition. The appeal was allowed, the insurance company was directed to deposit the amount within eight weeks, and the claimants were permitted to withdraw the amount.
Headnote
A) Motor Accident Claims - Definition of Accident - Accident Need Not Involve Another Vehicle - Motor Vehicles Act, 1988 - Tribunal dismissed claim holding death due to saree entanglement in motorcycle wheel was not an accident and involved sole negligence of husband; High Court held accident includes collision, overturning or slipping and does not require involvement of another vehicle; since death arose from use of insured motorcycle, insurer liable - Held that the death of the deceased was an accident arising out of the use of the motor vehicle (Paras 4-5). B) Insurance Law - Liability of Insurer for Pillion Rider - Insurer Liable for Accidental Death of Pillion Rider - Motor Vehicles Act, 1988 - Insurance company contended breach of policy due to four riders on motorcycle; Court noted pillion rider covered under policy and that deceased, husband and two minor children aged about three years were travelling; holding that carrying minor children did not amount to breach of terms and conditions of insurance policy - Held that insurer cannot avoid liability on ground of four occupants (Para 4). C) Motor Accident Compensation - Assessment of Loss of Dependency - Income, Future Prospects, Multiplier, Consortium - Motor Vehicles Act, 1988 - Deceased was doing milk business and earning Rs.2,000 per month as assessed by Court; Court applied 40% future prospects, multiplier of 18, consortium of Rs.1,92,000 for four dependants, loss of estate and funeral expenses, totaling Rs.8,32,800; enhanced compensation of Rs.7,82,800 awarded with 7.5% interest - Held that claimants entitled to enhanced compensation (Para 5).
Issue of Consideration
Whether the death of the deceased due to her saree getting entangled in the motorcycle wheel while travelling as pillion rider constituted an 'accident' under the Motor Vehicles Act, 1988? Whether the Tribunal erred in dismissing the claim petition for want of negligence and breach of insurance conditions due to four riders? What compensation were the claimants entitled to?
Final Decision
Appeal allowed. Claimants entitled to enhanced compensation of Rs.7,82,800 with 7.5% interest per annum from date of filing claim petition till realization. Insurance Company shall deposit the amount within eight weeks. Claimants permitted to withdraw the deposited amount. Deficit court fees payable as per rule. R & P be sent back to the Tribunal.
Law Points
- Accident includes collision
- overturning or slipping
- no need for involvement of another vehicle to constitute an accident
- death caused due to use of motorcycle constitutes accident
- pillion rider covered under insurance policy
- insurer liable for death arising from use of insured vehicle
- carrying minor children on motorcycle not breach of insurance policy terms
