Hyderabad: The Hyderabad High Court has ruled that the insurance company is liable to pay compensation in case of death of pillion rider if the vehicle is covered by a comprehensive policy and basic premium was paid to cover the risk of a passenger on the two-wheeler, who can be no other than the pillion rider.
Justice T. Rajani was allowing a petition by Mr A.A. Sadafule and two others challenging an order of a consumer forum which had fixed a lower amount of compensation.
The judge dismissed an appeal filed by National Insurance Company Limited challenging the order of the consumer forum on the ground that liability had been fixed on the insurer spite of the deceased being a pillion rider. It appealed against the “excessive” compensation awarded by the forum.
Justice Rajani directed the insurance company to pay Rs 16.66 lakh to the claimants of the deceased family.
