The Supreme Court has upheld a Karnataka High Court decision that insurance companies will not be liable to pay any compensation to the families of individuals who die as a result of their rash driving.
A bench of Justices P.S. Narasimha and R. Mahadevan did not grant ₹80 lakh compensation sought by the wife, son and parents of a man who died while driving a car at high speed under section 166 of the Motor Vehicles Act.
“We are not inclined to interfere with the impugned judgment passed by the high court. Hence, the Special Leave Petition is dismissed,” the bench said in an order passed on Wednesday.
In this particular case, one N.S. Ravisha died in a car accident, which occurred on June 18, 2014, while driving a Fiat Linea car at high speed in a rash and negligent manner. The car toppled, resulting in his death. The police had filed a charge sheet against the deceased, establishing that the deceased was negligent.
His wife, son, and parents (the appellants) filed a compensation claim before the Motor Accident Claims Tribunal at Arsikere, Karnataka.
The tribunal dismissed the claim petition, holding that the deceased was himself the tortfeasor (i.e., the wrongdoer who caused the accident), and, therefore, his legal heirs were not entitled to compensation. The high court, in its order on November 23, 2024, held the tribunal order.
Insurance industry sources said in this particular instance, while not in favour of the survivors of the deceased, it shows the need for more awareness from the policyholders about the fine print of the insurance policy, particularly the exclusions.