Topic

Act Liability Only Policy

1 articleLatest May 2026
Section 149 MV Act | Insurer Liable for Passenger Compensation Under 'Pay and Recover' Principle Even in Act Liability Only Policies : Karnataka HC
Case Law Analysis
|Karnataka High Court

Section 149 MV Act | Insurer Liable for Passenger Compensation Under 'Pay and Recover' Principle Even in Act Liability Only Policies : Karnataka HC

Karnataka High Court reinforces that insurers cannot evade liability for passenger compensation under Act Liability Only Policies, affirming the 'pay and recover' principle. The ruling mandates immediate payment to victims, with insurers retaining the right to recover from vehicle owners, ensuring statutory compliance under the Motor Vehicles Act.