#driving license validity

Madras High Court rules that an insurer cannot recover compensation paid to accident victims unless it conclusively proves the driver’s license was invalid at the time of the accident. The judgment underscores that recovery proceedings under Section 149 of the Motor Vehicles Act demand strict factual accuracy, not mere allegations, to deny insurer liability.

The Gauhati High Court ruled that an insurer cannot deny motor accident compensation solely by claiming the driver’s license had expired - it must demonstrate a material breach of policy terms and actual negligence. This shifts the burden of proof to insurers and reinforces policyholder protection under Section 147 of the MV Act, affecting claims handling nationwide.