Insured vehicle's borrower not entitled to compensation: Gauhati High Court

In motor accident cases, a claimant borrowing the vehicle of an insured person cannot be a third party for insurance reliefs under a personal accident cover [National Insurance Co Ltd vs Md Atikul Islam and anr].

A personal accident cover is designed to give benefits to the insured only and not a borrower.

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"The benefits of the Insurance policy is restricted to the personal insurance cover to the owner and the personal accident cover is a contract between the insured and the insurer and only designed to give the benefit to the insured and not to the borrower," the Court ruled.

Relying on the Supreme Court decision in Oriental Insurance Company Ltd. Vs. Rajni Devi and others, Justice Nandi held that in the present case the respondents only stepped into the shoes of the insured owner of the motorbike.

"The respondent/claimant is not covered under the MV Act as the injured/claimant stepped into the shoes of the owner of the vehicle in question."