No fault liability – Liability of Insurance Company with recovery rights -- In case of death in an accident arising out of the use of a motor vehicle, the legal heirs of the deceased are entitled to Rs.50,000/- as compensation for liability without fault -- It has been made Rs.50,000/- by Amending Act No.54 of 1994 with effect from 14.11.1994 from Rs.25,000/- -- Accident occurred earlier to 1994 i.e. on 23.6.1991 – Rs.25,000/- is liable to be granted to the appellants -- Though the liability of the Insurance Company as per its policy is limited to Rs.20,000/-, however, it is liable to pay the entire amount and recover the excess amount from the insured.
(P&H HC) Decided on: 06.05.2015