#Goods Vehicle Liability

The Andhra Pradesh High Court ruled that insurers cannot evade liability under Section 147 of the Motor Vehicles Act merely because the deceased was a gratuitous passenger traveling with goods in an insured vehicle. The judgment clarifies that ownership of the consignment is irrelevant for compensation claims, impacting accident victims and insurers alike.

The Madhya Pradesh High Court ruled that insurance companies cannot be compelled to compensate uninsured passengers in goods vehicles, as the policy excludes such risk. The court set aside the 'pay-and-recover' order, reinforcing that liability rests solely with the vehicle owner and driver, not the insurer.