ISHWAR CHANDRA vs THE ORIENTAL INSURANCE CO.LTD

The Supreme Court upheld the decision of the Motor Accidents Claims Tribunal under Section 166 of the Motor Vehicles Act, 1988, affirming the compensation awarded to the claimants due to the negligent driving of a tractor that resulted in the death of Reshma Devi. The Court clarified that the insurance company could recover the compensation amount from the vehicle owner without filing a suit, provided the driver was not holding a valid license at the time of the accident, as established in National Insurance Company Limited v. Swaran Singh. The review application by the insurance company was dismissed, reinforcing the principle that liability arises despite the driver's license status at the time of the accident.