Insurance – Section 66(3)(i) of MV Act – Statutory exemption to the insured offending vehicle of goods auto rickshaw to have permit -Does not amount to violation of policy conditions?

On 25.2.2010, the motor cycle of the deceased was hit by the goods auto rickshaw.  He sustained injuries and died in the hospital.  Deceased aged 22 was employed as Sales Executive in the Event Management Company.

The insurer admitted valid insurance coverage of the rickshaw but contended violation of policy conditions since it did not have valid permit.  The Tribunal held that the respondent no.1 violated the terms and conditions of policy.

HELD that the Registration and the Policy Certificate, the specifications of the rickshaw vehicle including gross vehicle weight of 975 kg were clearly mentioned.  Section 66(3)(i) of the Motor Vehicles Act, 1988, specifically excludes the “goods vehicle with gross vehicle weight less than 3000 kg from obtaining permit.  That there is statutory exemption from obtaining permit for such goods vehicle, the absence of such permit cannot be treated as violation of the policy conditions.

Judgment dated 24.1.2024 in MACA No.2534 of 2012 of Mammutty Vs. Prabhakaran with connected matter.