New India Assurance Co. Ltd vs Harshadbhai Amrutbhai Modhiya & Anr

The Supreme Court addressed whether an insurer is liable to pay interest on compensation awarded under the Workmen's Compensation Act, 1923. The Court held that the insurer's liability is determined by the terms of the insurance contract, which explicitly excludes interest and penalties. The appeal by the insurer was dismissed, affirming the High Court's decision that upheld the Workmen's Compensation Commissioner's order for compensation with interest, citing Sections 3, 4, and 8 of the Act.