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1995 DIGILAW 348 (GUJ)

DIPSINH KALYANSINH CHAUHAN v. DIPIKABEN

1995-07-25

R.A.MEHTA, S.K.KESHOTE

body1995
R. A. MEHTA, J. ( 1 ) THE owner and the insurer of the truck have filed this appeal and they challenge the finding of the Tribunal that the liability of the insurer of the truck is limit to the statutory limit of Rs. 1. 50 lacs. The reasoning of the Tribunal is in para 8 of its judgment. The Tribunal held that the liability for third party is limited because no extra premium is paid for wider liability. ( 2 ) THE learned counsel for the appellants had drawn our attention to Ex. 77 the policy. The relevant part of the Schedule of Premium is as follows:-SCHEDULE of Premiumb. LIABILITY OF PUBLIC RISKRS. 240 add: for L. L. to authorised non-fare paying passengers as per ENDIMT 14 (b) limit any one passenger Rs. Limit any one Accdt. Rs. Add for L. L. to paid driver and/or Cleaner as per END IMT 16rs. 64 add for increased T. P. Limits section II 1 (i) Unlimited section II 1 (ii) Rs. Unlimitedrs. 150 add: 300000/- Property Damage rs. 454 ( 3 ) THE Tribunal observed that the extra premium of Rs. 150/- is for the property damage upto Rs. 3 0 0 This is clearly and completely misreading of the policy. As far as section II (1) (i) of the policy is concerned the third party limit is unlimited and as far as section II (1) of the policy is concerned the amount of limit which was to be filled in has been filled in with the words unlimited and against that the additional premium of Rs. 150/- is shown. It is therefore clear that the insurer has expressly agreed to give unlimited coverage under section II (1) (ii) of the policy. Both for clauses (i) and (ii) of section II (1) of the policy the liability of the insurer is I unlimited. ( 4 ) IN view of this clear position this appeal is required to be allowed against the insurer of the truck. ( 5 ) IN the result the appeal is allowed and the finding of the Tribunal holding the insurer of the truck to have the liability limited to Rs. 1. 50 lacs is quashed and set aside and it is held that the said insurer has provided unlimited coverage for third party risk and is liable for the full amount of the award. 1. 50 lacs is quashed and set aside and it is held that the said insurer has provided unlimited coverage for third party risk and is liable for the full amount of the award. The award of the Tribunal shall stand modified accordingly. The original opponent no. 8 the insurer of the truck is held liable to satisfy the award without the statutory limit. Appeal Allowed. .