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Kin of accident victim get Rs 41 lakh compensation MACT overrules cheque dishonoured argument

by AIP Online Bureau | May 18, 2025 | Indian News, Non-Life | 0 comments

The insurance firm claimed the policy on the offending vehicle had been cancelled due to a cheque given by its owner getting dishonoured. However, citing a Supreme Court judgement, the MACT said “cancellation of insurance policy due to cheque through which premium was paid being dishonoured would not affect rights of third party”.

Thane: The Motor Accident Claims Tribunal in Thane has awarded Rs 41 lakh as compensation to the kin of a man killed in a road accident in 2020.

Arun Martand alias Maruti Bhangrath died on January 11 that year after his motorcycle was hit by a speeding multi utility vehicle (MUV). His son Akshay was also killed in the accident.

Bhangrath’s kin had sought Rs 47.55 lakh as compensation after submitting that he was a milk seller and driver who earned around Rs 25,000 at the time. He was 34 when he died.

In its judgement of May 8, the details of which were made available on Saturday, the MACT under member SN Shah awarded Rs 40.32 lakh for loss of dependency and future prospects, and an additional Rs 70,000 for loss of estate, funeral expenses, and filial consortium.

The tribunal also awarded Rs 5.70 lakh for the death of Bhangrath’s son Akshay.

The insurance firm claimed the policy on the offending vehicle had been cancelled due to a cheque given by its owner getting dishonoured.

However, citing a Supreme Court judgement, the MACT said “cancellation of insurance policy due to cheque through which premium was paid being dishonoured would not affect rights of third party”.

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