National Insurance Company Limited vs Sunita Devi 2025 INSC 951 - Motor Accident Compensation - Pay & Recover
Can Pay & Recover directions be issued even though insurance policy issued in favour of the third party for covering third party risk was cancelled?
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Motor Accident Compensation - Even though the cancellation of insurance policy issued in favour of the third party for covering third party risk, because of bouncing of cheque for premium or non-payment of premium, would in law, absolve the insurer from liability to pay the compensation, once the insurer has intimated the cancellation to the parties concerned, in the final directions issued, the Supreme Court thought it fit to direct the insurance company to make payment of compensation to the claimants and thereafter to permit it to recover the same. (Para 5.5)
Case Info
Case Name and Neutral Citation
- Case Name: National Insurance Company Limited v. Sunita Devi & Ors.
- Neutral Citation: 2025 INSC 951
Coram (Judges)
- K. Vinod Chandran, J.
- N.V. Anjaria, J.
Judgment Date
- Date: August 08, 2025
Caselaws and Citations Referred
- National Insurance Company Ltd. vs. Seema Malhotra
- Citation: (2001) 3 SCC 151
- Deddappa & Ors. vs. Branch Manager, National Insurance Company Limited
- Citation: (2008) 2 SCC 595
- United India Insurance Company Limited vs. Laxmamma & Ors.
- Citation: (2012) 5 SCC 234
Statutes/Laws Referred
- Motor Vehicles Act, 1988
- Sections 147(5), 149(1), and 166
