IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE M.N.KRISHNAN FRIDAY, THE 15TH JANUARY 2010 / 25TH POUSHA 1931 MACA.No. 2891 of 2008() ------------------------------------- AGAINST THE AWARD DATED 19/08/2008 IN OP(MV) NO.545/07 OF MOTOR ACCIDENTS CLAIMS TRIBUNAL, PALA. ...................... APPELLANT(S): RESPONDENTS 1 & 2: ---------------------------------------------------------- 1. SHAJAN VARGHESE, VETTICKAL HOUSE, KARIKATTOOR KARA, PONTHANPUZHA PO., MANIMALA VILLAGE. 2. ABHILASH.T.ABRAHAM, S/O.ABRAHAM, THEVARKUNNEL HOUSE, RAMAPURAM BAZAR PO., VELLILAPPILLY VILLAGE. BY ADVS. MR.V.C.JAMES, MR.JOBY JOSEPH. RESPONDENT(S): PETITIONER & 3RD RESPONDENT: ------------------------------------------------------------------------------- 1. JEEMOL SHAJAN, W/O.SHANAN VARGHESE, VETTICKAL HOUSE, PONTHANPUZHA PO., KARIKATTOOR KARA, MANIMALA VILLAGE. 2. THE UNITED INDIA INSURANCE CO.LTD. ERNAKULAM BRANCH, REPRESENTED BY ITS DIVISIONAL MANAGER, KOTTAYAM. R2 BY ADV. MR.P.JAYASANKAR THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING BEEN FINALLY HEARD ON 15/01/2010, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: Kss M.N. KRISHNAN, J. ........................................... M.A.C.A.No.2891 OF 2008 ............................................. Dated this the 15th day of January, 2010. J U D G M E N T This is an appeal preferred against the award of the Claims Tribunal, Pala in OP(MV)No.545/2007. The claimant, a pillion rider sustained injuries in a road accident and the Tribunal has awarded him a compensation of Rs.39,100/= with 9% interest. The Tribunal exonerated the insurance company from the liability and directed respondents 1 and 2 to pay the amount. It is aggrieved by that decision, respondents 1 and 2 in the original petition had come up in appeal. 2. A perusal of the award would show that the vehicle was insured by the 2nd respondent under a package policy. The clause relating to the policy in para-9 is extracted here: “Subject to the limits of liability as laid down in the Schedule hereto the Company will indemnify the insured in the event of an accident caused by or arising out of the use of the insured vehicle against all sums which the insured shall become legally liable to pay in respect of death of or bodily injury to any person including occupants carried in the insured : 2 : M.A.C.A.No.2891 OF 2008 vehicle including the persons carried in a motor vehicle ( provided such occupants are not carried for hire or reward) but except so far as it is necessary to meet the requirements Motor Vehicles Act, the Company shall not be liable where such death or injury arises out of and in the course of the employment of such person by the insured. Damage to property other than property belonging to the insured or held in trust or in the custody or control of the insured”. 3. This clause had come up for consideration before the two Division Benches of this court in New India Assurance Co. Ltd. v. Hydrose (2008 (3) KLT 778) and Mathew v. Shaji Mathew (2009 (3) KLT 813). Further by virtue of the clarificatory circular dated 16.11.2009, the Insurance Regulatory and Development Authority had also clarified that occupants carried in a private car and pillion riders carried in a two wheeler are covered under the standard motor package policy. Therefore in the light of the two decisions and the clarificatory order it has to be held that the insurance company is liable to pay the amount. The finding to the contra is against law and therefore it is set aside. The insurance company is made liable. : 3 : M.A.C.A.No.2891 OF 2008 In the result, the MACA is allowed and the finding of exoneration of liability of the insurance company is set aside and it is made liable to pay the amount. The insurance company shall deposit the amount within a period of 60 days from the date of receipt of a copy of this judgment. M.N. KRISHNAN, JUDGE cl : 4 : M.A.C.A.No.2891 OF 2008