SC to examine whether vehicle owner can receive compensation under his own insurance policy in case he defaults

Special leave petition filed im Supreme Court against Allahabad High Court judgment.

In the factual scenario, the person who has been held responsible for the accident was the person driving the vehicle whose wife died in the incident and the minor children are the claimants arraying father as a respondent.

The question thus, is whether the owner himself can be a recipient of the compensation under his own policy, if he is at fault.Before the bench of Justice Sanjay Kishan Kaul, Dinesh Maheshwari and Hrishikesh Roy, it was submitted that there is a conflict of decisions of the High Courts on the issue in question and the Calcutta High Court in New India Assurance Company Ltd v. Srikanta Tewari, opined to the contrary.

“Insofar as interim relief is concerned, the amount is stated to be deposited with the High Court. We are of view that 2/3rd of the amount be released to the two children who were then minors while 1/3rd of the amount will be retained with the High Court in an FDR bearing interest.” Said Supreme Court order.

Oriental Insurance Co. Limited vs. Harishit Shrivastava & Umang [ SLP (C) 15160/2020].

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