SHIVAJI vs DIVISIONAL MANAGER UNITED INDIA INSURANCE CO. LTD.

The Supreme Court held that under Section 163A of the Motor Vehicles Act, 1988, the insurer cannot raise a defense of negligence against the claimant, as this would contradict the legislative intent of providing swift compensation. The Court referenced its earlier judgment in United India Insurance Co. Ltd. v. Sunil Kumar, emphasizing that the provision aims to ensure compensation without the need to prove fault. Consequently, the Court restored the Tribunal's award of compensation to the appellants, overturning the High Court's decision that denied compensation due to the driver's status as the tortfeasor.