IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE M.N.KRISHNAN WEDNESDAY, THE 19TH NOVEMBER 2008 / 28TH KARTHIKA 1930 MACA.No. 1511 of 2008(C) ----------------------- OPMV.498/2006 of MOTOR ACCIDENT CLAIMS TRIBUNAL, PALA .................... APPELLANT(S): /3RD RESPONDENT: -------------------------------------- NATIONAL INSURANCE COMPANY LTD., REP.BY ITS MANGER, REGIONAL OFFICE, 3RD PARTY WING, OMANA BUILDING, PADMA JUNCTION, KOCHI-35. BY ADV. SRI.P.R.RAMACHANDRA MENON RESPONDENT(S): PETITIONER & RESPONDENTS 1 & 2 : ----------------------------------------------- 1. RAJASEKHARAN PILLAI, S/O.NARAYANA PILLAI, PARIYARATHUKUNEEL HOUSE, PONKUNNAM P.O. 2. THANKAMMA, PUNARTHAM HOUSE, PONKUNNAM P.O. 3. ANOOP, S/O.SANKARA PILLAI, PUNARTHAM HOUSE, PONKUNNAM P.O., CHIRAKADAVU VILLAGE, VADAKKUMBHAGAM KARA. THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING BEEN FINALLY HEARD ON 19/11/2008, THE COURT ON THE SAME DAY PASSED THE FOLLOWING: M.N. KRISHNAN, J. = = = = = = = = = = = = = = M.A.C.A. NO. 1511 OF 2008 = = = = = = = = = = = = = = = Dated this the 19th day of November, 2008. J U D G M E N T This appeal is preferred against the award of the Motor Accidents Claims Tribunal, Pala in O.P.(MV)498/06. The short question that arises for determination in this appeal is regarding the liability of the insurance company to pay compensation or not. Learned counsel for the insurance company very strongly contends before me that it is not liable to pay the amount as no additional premium is paid for covering a gratuitous passenger in a private car. The terms and conditions of the policy had been extracted by the Tribunal in paragraph 10 which reads as follows: “Subject to the limits of liability as laid down in the Schedule hereto the Company will indemnify he insured in the event of an accident caused by or arising out of the use of the Motor Car against all sums which the insured shall become legally liable to pay in respect of M.A.C.A. 1511 OF 2008 -:2:- -death of or bodily injury to any person including occupants carried in the Motor Car (provided such occupants are not carried for hire or reward) but except so far as it is necessary to meet the requirements of 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.” The same clause came up for consideration before a Division Bench of this Court reported in New India Assurance Co. Ltd. v. Hydrose [2008 (3) KHC 522(DB) and it is held that when there is a condition in the contract the insurance company is bound to pay the amount. In the light of the said pronouncement coupled with the conditions that has been extracted above, I feel the insurance company is bound to pay the amount and so the award does not call for any interference. Therefore the appeal is dismissed without costs. M.N. KRISHNAN, JUDGE. ul/-