Pointing out that a pillion rider is a gratuitous passenger and not a third party, the high court reversed an order passed by Motor Accident Claims Tribunal at Kunigal in Tumakuru district.
In his order, Justice CM Joshi directed Nisammuddin, owner of the offending vehicle (a Hero Honda bike), to pay the compensation amount awarded by the tribunal.
On March 24, 2011, Siddiqullah Khan, who is into scrap business, was riding pillion on Nisammuddin’s bike from Kunigal. Due to the rider’s rash and negligent driving, the Hero Honda bike fell into a ditch. A grievously injured Khan was taken to Bengaluru and he succumbed to injuries on March 26, 2011. His family members, who had spent INR 1.2 lakh towards his treatment and other expenses, moved the tribunal seeking INR 15 lakh relief.
On August 24, 2017, the tribunal awarded INR 7,27,114 with 6% interest as compensation. National Insurance Company Limited was directed to pay the compensation.
Both the insurer and Khan’s family members challenged the order. The insurer argued that it was an ‘act-only policy’, and therefore, the pillion rider, who was a gratuitous passenger on the two-wheeler, was not covered and no additional premium was collected to cover him. Khan’s family members claimed the tribunal hadn’t properly assessed their claim petition.
Justice CM Joshi noted that the accident had occurred owing to Nisammuddin’s negligence and no other vehicle was involved. “It is an ‘act-only policy’; the cover is for the owner-cum-driver and limited to INR 1 lakh. Nowhere is it mentioned the pillion rider or the occupant is also covered under the policy. However, it is mentioned the seating capacity of the vehicle is ‘1 + 1’, on the basis of which the tribunal had fastened the liability on the insurance company,” the judge pointed out.
