Hem Raj vs The New India Assurance Company Ltd.

The Supreme Court examined the scope of insurance coverage for a vehicle used across borders, specifically whether the insurer was liable for an accident occurring in Nepal when the policy was extended to cover Nepal. The court analyzed the terms of the insurance policy, the extension of coverage, and the territorial limits. It held that the insurer was liable to indemnify the insured for the accident within the extended territorial coverage. The judgment clarified the importance of explicit territorial extension clauses in insurance policies for cross-border coverage.