Praveenbhai S Khambhayata vs United India Insurance Co. Ltd And Ors

The Supreme Court held that under Section 147 of the Motor Vehicles Act, 1988, the insurance company is liable to indemnify the owner of the vehicle for accidents occurring during the course of employment, even if the deceased was working on a different vehicle at the time of the incident. The Court clarified that the insurance policy covers the owner’s liability for employees, and the High Court's dismissal of the appeal was overturned. The Court ruled in favor of the appellant, establishing that the insurance company must indemnify the appellant for the compensation awarded to the claimants.