Quick Summary: The Madurai Bench of the Madras High Court decided that United India Insurance Co. must pay money to a minor, Vincent Raj, who was hurt in a road accident, even though the driver didn't have a valid license. The company can later get this money back from the owner of the vehicle.
On January 17, 2008, a young boy named Vincent Raj was hit by a TVS XL Super while walking with his mom. The bike was speeding and hit Vincent, causing serious injuries, including a skull fracture. He was in the hospital for a week and couldn't go to school that year. His family asked for ₹5,00,000 as compensation.
The insurance company, United India Insurance, said they shouldn't pay because: - The bike's driver didn't have a valid license. - Vincent didn't have a permanent disability or loss of earning ability. - The amount of money requested was too high.
The court, led by Justice R. Poornima, decided: - The accident was the driver's fault. - The driver didn’t have a valid license, which is against the rules. - Even so, since the vehicle was insured, the insurance company must pay first and then get the money back from the vehicle owner.
"The Insurer is liable to satisfy the award amount in the first instance with the liberty to recover the same from the owner."
The court awarded Vincent ₹1,05,373, with a 7.5% interest rate. The insurance company has eight weeks to pay this amount. The money will be kept in a bank until Vincent becomes an adult, and his mother can take out the interest every three months for his benefit.
The court ruled that the insurance company must pay the compensation to the victim first, even though the driver didn't have a valid license. This decision ensures that the victim's needs are addressed promptly, and the company can later recover the money from the vehicle owner.
