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Supreme Court Of India

(From : 2006 AIHC 1534 (HP))

Hon'ble Judge(s): K. S. Radhakrishnan, Dipak Misra , JJ

Motor Vehicles Act (59 of 1988) , S.147(1), Proviso(i)(c), S.167— Liability of insurer - Goods vehicle - Covered by Act policy - Liability towards employees carried in vehicle - Limited to employees of insured - Not of employees of hirer of goods vehicle. Workmens Compensation Act (8 of 1923) , S.3— S. 147(1) Proviso (i)(c) refers to an employee who is being carried in the vehicle covered by the policy. Such vehicle being a goods carriage, an employee has to be covered by the statutory policy. On an opposite reading of Sections 147 and 167, the intendment of the legislature, appears to be to cover the injury to any person including the owner of the goods or his authorised representative carried in a vehicle and an employee who is carried in the said vehicle. The policy is not required to cover the liability of the employee except an employee covered under the 1923 Act and that too in respect of an employee carried in a vehicle. The Act policy does not cover all kinds of @page-SC1126 employees. Thus, on a contextual reading of the provision, schematic analysis of the Act and the 1923 Act, it is quite limpid that the statutory policy only covers the employees of the insured, either employed or engaged by him in a goods carriage. It does not cover any other kind of employee and therefore, someone who travels not bein....