NEW ASIATIC INSURANCE CO. LTD. vs PESSUMAL DHANAMAL ASWANI AND ORS.

The Supreme Court held that under Sections 93 to 96 of the Motor Vehicles Act, 1939, if a driver is covered under the insurance policy, the insurer is liable for damages incurred by that driver. The court clarified that a proviso in the policy does not limit the rights of third parties to claim damages from the insured. The appellant's argument that the driver was not indemnified under the policy was rejected, affirming that the insurer must satisfy any decree against the driver as per Section 96 of the Act.