IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE M.N.KRISHNAN TUESDAY, THE 24TH NOVEMBER 2009 / 3RD AGRAHAYANA 1931 MACA.No. 673 of 2009() ---------------------- OPMV.403/2003 of MOTOR ACCIDENT CLAIMS TRIBUNAL, PALAKKAD .................... APPELLANT(S): RESPONDENTS 1 AND 2 --------------------------------- 1. V.RAJAMANICKAN,S/O.SUBBIAH, VADATHODE,PATTANCHERY POST, VANDUTHAVALAM,CHITTUR TALUK. 2. MOHANAN,S/O.RAJAMANICKEN, VADATHODE,PATTANCHERY POST, VANDUTHAVALAM,CHITTUR TALUK. BY ADV. SRI.A.R.GANGADAS RESPONDENT(S): PETITIONER & 3RD RESPONDENT ------------------------------------------ 1. CHENTHAMARA,S/O.KUTTAN, EZHUTHANI,VILAYODI,POST, CHITTUR TALUK. 2. NEW INDIA ASSURANCE CO.LTD., SREE VALLI BUILDING, ANIKKODE,CHITTUR. ADV. SMT.M.HEMALATHA FOR R2 THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING COME UP FOR ADMISSION ON 24/11/2009, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: M.N. KRISHNAN, J. ........................................... M.A.C.A.No.673 OF 2009 ............................................. Dated this the 24th day of November, 2009 J U D G M E N T This is an appeal preferred against the award of the Claims Tribunal, Palakkad in OP(MV)No.403/2003. The claimant, who is working as a loading and unloading worker, was travelling in the trailer of a tractor fell down and sustained injuries. 2. The Tribunal after consideration of the materials awarded him a compensation of Rs.65,679/= but exonerated the insurance company from the liability on the ground that the policy does not cover the risk of the said person. I am afraid that the said approach by the Tribunal is erroneous in the face of the policy issued by the company. 3. The learned counsel for the appellant had made available before me original of the policy which would indicate that though it is categorised as an Act only policy, the endorsement and receipt of payment in the policy clearly indicate the legal liability to driver, collies/other employees in connection with the operation or maintaining or unloading of 7 persons is covered by the policy by receiving a premium : 2 : M.A.C.A.No.673 OF 2009 of Rs.105. 4. So, here it is a tractor with trailer used for the purpose of carrying goods. The person who got injured in the accident was working as a loading and unloading worker of the owner. So there is a specific premium paid under the policy to cover the risk of such person. When premium is collected irrespective of the question that it is termed as an Act only policy, it will not absolve the insurance company from getting exonerated from the liability. An Act only policy in the normal sense indicates coverage of third party risk and in some cases premium is paid to cover the unlimited property damage caused to the third parties. When such policy is issued and an accident takes place, it has to be stated that it will relate only to third parties. It has been held in very many decisions including United India Insurance Co. Ltd. v. Tilak Singh [(2006(2) KLT 884(SC)] that a person travelling as a pillion rider or a person travelling in a private car does not have the status of a third person but only that of a gratuitous passenger not covered by the policy. But so far as the case on hand is : 3 : M.A.C.A.No.673 OF 2009 concerned, the policy covers the risk of 7 employees under the owner. Admittedly, the claimant is such an employee and the accident had taken place while he was exercising his duty as employee as contemplated under the terms of the policy. Therefore, I hold that the policy covers the risk of this person and the insurance company is liable. 5. In the result, the MACA is partly allowed and the finding of the Tribunal that the insurance company is exonerated from the liability is set aside and it is held that the insurance company is liable. The insurance company is directed to deposit the amount within 60 days from the date of receipt of a copy of this judgment. If the owner has already deposited the amount and it has been withdrawn by the claimant, then the amount on deposit by the insurance company shall be disbursed to the owner on appropriate application. Disposed of accordingly. M.N. KRISHNAN, JUDGE cl : 4 : M.A.C.A.No.673 OF 2009 : 5 : M.A.C.A.No.673 OF 2009