Mumbai: Remarriage of widow no ground to deny compensation under MV Act , says HC

Mumbai: Remarriage of a widow cannot be grounds to deny her compensation under the Motor Vehicles Act, observed the Bombay High Court while dismissing an appeal filed by an insurance company. 

Iffco Tokio General Insurance Company had claimed that the woman, Bhagyashri Gaikwad, had remarried and hence should not be awarded compensation for the death of her first husband.

Judge: Woman was 19-year-old when her husband was killed

While dismissing the appeal against the order of the Motor Accident Claims Tribunal (MACT), Justice SG Dige noted, “One cannot expect that for getting compensation of the deceased husband, the widow has to remain widow for life time or till getting compensation.” The judge also took note of the fact that Gaikwad was merely 19-years-old when her husband was killed in an accident. “Moreover after the death of a husband, remarriage cannot be a taboo to get compensation,” added the judge. 

In May 2010, Ganesh Gaikwad was going on a motorcycle as a pillion rider when a two-wheeler hit an auto rickshaw which was being driven in a rash and negligent manner. He died while he was being treated. 

MACT held the insurance company liable

Bhagyashri Gaikwad had filed a claim petition for compensation, but pending hearing she remarried. MACT held that Iffco Tokio was liable to pay compensation of ₹10.89 lakh. The insurance company challenged this before the HC highlighting the fact that she had remarried. It further contended that it can’t be held liable to pay the compensation as the auto rickshaw was only permitted to ply within Thane district.

MACT observed that it is a settled position that breach of terms and conditions of policy are quite different from the breach of terms and conditions of permit issued by the RTO Authority. The permit was issued for the purpose of plying the rickshaw and giving the service within Thane. However, it does not preclude the holder of the permit to carry the rickshaw out of Thane's jurisdiction.

HC dismissed the appeal saying woman is entitled for ₹80,000

Agreeing with the MACT’s reasoning, the HC said that the insurance company had not examined any witness “to prove that taking offending rickshaw outside the Thane was breach of terms of permit, and it amounts to breach of terms and conditions of insurance policy”. 

Dismissing the appeal, the HC said Gaikwad is entitled for ₹80,000 as additional amount at 7.5% per annum from October 1, 2017 until realisation of the amount.