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October 1, 2022

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Punjab-Haryana High Court Made It Clear That Insurance Company Cannot Deny Compensation In Accident

2 min read

The High Court said that the Motor Vehicle Act provides for compensation for accidents. The negligence of the driver is a matter between the owner of the vehicle and the insurance company and cannot be made a ground for denial of compensation to the dependents of the deceased driver.

In a case related to a vehicle accident, the Punjab-Haryana High Court has made it clear that even if the driver was negligent in the accident, the insurance company cannot deny compensation to the dependents of the deceased driver.

Filing the petition, the insurance company said that on February 6, 2014, Jitendra Singh, Amarjit Singh, Narendra Singh, Parvinder Singh, Kuldeep Singh and Harbhajan Singh were going from Amritsar to Delhi in an Innova car. A truck suddenly applied brakes between Shahabad and Pipli and Innova collided with it. Except Harbhajan Singh, everyone else died in this accident.

The insurer of the truck had argued that the driver of the Innova did not maintain proper distance, had he done so, the accident could have been avoided. Along with this, calling the driver negligent, he denied compensation to his dependents. Innova’s insurer protested against shifting the responsibility of half the compensation amount to it.

The High Court, after hearing all the parties, said that the insurer of the truck has failed to prove the negligence of the driver in this case. The High Court has ordered the insurer of Innova to pay 30 percent and the truck insurer to pay 70 percent compensation.

At the same time, the High Court said that the Motor Vehicle Act provides for compensation for the accident. The negligence of the driver is a matter between the owner of the vehicle and the insurance company and cannot be made a ground for denial of compensation to the dependents of the deceased driver.

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