Equity Over Error – SC Balances Justice in MV compensation
Judgment dated 26.9.2025 of the Supreme Court in SLP (Civil) No.19976 of 2019 of New India Assurance Co. Ltd Vs. Narayan Singh and others
On 21.6.2006, Hem Singh, 21 years old, serving as security guard and earning Rs.4000/- per month, met with accident. He died while undergoing treatment.
The Tribunal held that the insurance coverage was available and granted compensation of Rs.3,87,000/-.
HELD that the only challenge in the Supreme Court was that on the date of the accident there was no insurance coverage and the policy was not in operation. The Insurance Company had taken this contention in the review petition and nothing was produced in the main claim petition. Though the allegation of fraud is levelled but it could not be proved by the insurer. Moreover, the order rejecting the review application was not challenged by the Insurer before the High Court.
However, in the totality of the facts and circumstances when it was brought on record that upon a verification of the policy its period did not cover the date when the accident occurred, it would subserve the ends of justice if the appellant – Insurance Company is allowed to recover 50% of the compensation from the owner and the driver in accordance with law.
