In Brief
A state road transport corporation appealed against a Motor Accident Claims Tribunal decision regarding liability for compensation in a motor accident caused by rash and negligent driving. The Supreme Court held that compulsory motor vehicle insurance protects third parties only and does not require separate policies for each authorized user. Once a vehicle is insured, any authorized user may operate it with the owner's consent. When insurance coverage is exhausted or limited, the vehicle owner remains liable for excess compensation. The Court allowed the appeal, clarifying that statutory liability for motor accident compensation rests with the vehicle owner-operator when insurance limits are insufficient.
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