Case Note & Summary
The case arises from a claim petition under Section 163A of the Motor Vehicles Act, 1988, filed by the legal heirs of Devendra Jotirao Wankhede, who died in a motor accident on 29-09-2008. The deceased was an occupant of an autorickshaw bearing registration No.MH27/P5208, which was dashed by a Hero Honda Motor Cycle bearing registration No.MH27/AE9464 near Village Tondgaon. The motor cycle was owned by respondent No.5, Ganesh s/o Bhumaka Mavaskar, and insured with the appellant, ICICI Lombard General Insurance Co. Ltd. The Motor Accident Claims Tribunal, by its award dated 23-09-2013, held the owner liable to pay compensation of Rs.3,68,000 to the claimants (respondent Nos.1 to 4) with interest at 6% per annum from the date of filing of the petition. The Tribunal further directed the Insurance Company to deposit the amount and then recover it from the owner. The Insurance Company appealed, challenging the direction to pay and recover. The High Court framed two issues: whether the direction to pay and recover is liable to be interfered with, and whether the compensation amount is correct. The Court noted that the deceased was a third party (occupant of autorickshaw) and the motor cycle was insured. Relying on the principle of pay and recover, the Court held that the Insurance Company is liable to pay compensation to third parties and then recover from the insured owner. The Court also found no reason to interfere with the quantum of compensation. Accordingly, the appeal was dismissed.
Headnote
A) Motor Accident Claims - Pay and Recover - Section 163A Motor Vehicles Act, 1988 - The Tribunal directed the Insurance Company to deposit compensation and recover from the owner of the offending vehicle. The High Court upheld this direction, holding that the Insurance Company is liable to pay compensation to third parties and then recover from the insured owner. (Paras 1-3) B) Motor Accident Claims - Compensation - Section 163A Motor Vehicles Act, 1988 - The Tribunal awarded Rs.3,68,000 as compensation for the death of an occupant of an autorickshaw in a collision with a motorcycle. The High Court did not interfere with the quantum of compensation. (Paras 1-3)
Issue of Consideration
Whether the Tribunal's direction to the Insurance Company to deposit compensation and recover from the owner is liable to be interfered with, and whether the compensation amount of Rs.3,68,000 is correct.
Final Decision
The appeal is dismissed. The award of the Motor Accident Claims Tribunal is confirmed.
Law Points
- Pay and recover
- Section 163A Motor Vehicles Act
- 1988
- Occupant of autorickshaw
- Third party
- Liability of insurer
- Recovery from owner


