Bhuwan Singh vs M/S Oriental Insurance Co.Ltd.& Anr

The Supreme Court held that under Section 149 of the Motor Vehicles Act, 1988, the insurance company is liable to indemnify the owner of the vehicle unless it proves that the driver was not holding a valid license. The Court found that the appellant, as the owner, was entitled to reimbursement despite the insurance company's claims, as it failed to establish any breach of policy conditions. The appeal was allowed, overturning the High Court's dismissal of the claimants' compensation award of Rs. 1,32,000/-.