High Court of Karnataka Dismisses Insurer's Appeal in Motor Accident Claim — Owner-Pillion Entitled to Compensation. Owner of vehicle riding as pillion is a third party under Section 147 of Motor Vehicles Act, 1988, and insurer liable to pay compensation.

High Court: Karnataka High Court Bench: KALABURAGI In Favour of Accused

Admin

2026-05-18 13:46:47

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Case Note & Summary

The case involves an appeal by United India Insurance Co. Ltd. against an award of Rs.60,000/- granted by the Motor Accidents Claims Tribunal, Raichur, to the claimant Suresh for injuries sustained in a motor accident on 21.09.2014. The claimant was riding pillion on a motorcycle when the rider lost control and fell, causing injuries to the claimant. The Tribunal awarded compensation of Rs.60,000/-. The insurer appealed, contending that the claimant was the owner of the vehicle and thus not entitled to compensation as a third party. The High Court of Karnataka, Kalaburagi Bench, dismissed the appeal, holding that the owner of a vehicle, when riding as a pillion passenger, is a third party and entitled to claim compensation under the Motor Vehicles Act, 1988. The court reasoned that the policy covers third party risks, and the owner is not excluded from being a third party merely because he is the owner, as long as he is not the driver at the time of accident. The court found no error in the Tribunal's award and upheld it.

Headnote

A) Motor Accident Compensation - Third Party Claim - Owner as Pillion - Section 147, Motor Vehicles Act, 1988 - The owner of a vehicle, when riding as a pillion passenger, is a third party and entitled to claim compensation from the insurer under a third party policy. The court held that the owner is not excluded from being a third party merely because he is the owner, as long as he is not the driver at the time of accident. (Paras 4-5)

B) Motor Accident Compensation - Liability of Insurer - Owner-Pillion - Section 147, Motor Vehicles Act, 1988 - The insurer is liable to pay compensation to the owner of the vehicle when he is a pillion passenger, as the policy covers third party risks. The court held that the Tribunal's award of Rs.60,000/- was just and proper, and no interference was warranted. (Paras 4-5)

Issue of Consideration

Whether the owner of a motor vehicle, when riding as a pillion passenger, is entitled to claim compensation from the insurer under a third party policy?

Final Decision

Appeal dismissed. The award of Rs.60,000/- passed by the Tribunal is confirmed. No order as to costs.

Law Points

Owner of vehicle can be a third party when riding as pillion
Insurance company liable to pay compensation to owner-pillion
Section 147 of MV Act covers third party risks including pillion riders
No bar for owner to claim as third party if not driving

Case Details

NC: 2024:KHC-K:6473

MFA No. 200787 of 2020 (MV-I)

2024-08-30

N.S.Sanjay Gowda

NC: 2024:KHC-K:6473

S. S. Aspalli (for appellant), Mahantesh Patil (for respondent 1)

United India Insurance Co. Ltd.

Suresh S/o Amareshwappa and Mallikarjun S/o Shivarajappa

Nature of Litigation

Appeal against award of compensation in motor accident claim

Remedy Sought

Insurer sought to set aside the award of Rs.60,000/- granted to claimant

Filing Reason

Insurer contended that claimant being owner of vehicle is not entitled to compensation as third party

Previous Decisions

Tribunal awarded Rs.60,000/- to claimant for injuries in MVC No.370/2016 on 17.12.2019

Issues

Whether the owner of a vehicle, when riding as a pillion passenger, is entitled to claim compensation from the insurer under a third party policy?

Submissions/Arguments

Insurer argued that claimant was owner of vehicle and thus not a third party entitled to compensation Claimant contended that he was a pillion passenger and thus a third party

Ratio Decidendi

The owner of a motor vehicle, when riding as a pillion passenger, is a third party and entitled to claim compensation from the insurer under a third party policy. The insurer is liable to pay compensation to the owner-pillion as the policy covers third party risks.

Judgment Excerpts

The Insurer is in appeal challenging the award of `60,000/- granted to the claimant for the injuries suffered by him in an accident which occurred on 21.09.2014. It is the principal contention of the Insurer that the claimant was the owner of the vehicle and even if he was riding pillion, he would not be entitled to compensation. The owner of a vehicle, when he is riding as a pillion, would be a third party and would be entitled to compensation.

Procedural History

Claimant filed MVC No.370/2016 before I Addl. District and Sessions Judge and MACT, Raichur, which awarded Rs.60,000/- on 17.12.2019. Insurer appealed under Section 173(1) of MV Act before High Court of Karnataka, Kalaburagi Bench, which dismissed the appeal on 30.08.2024.