Expressing concern over denial of compensation to motor accident victims for a host of reasons, the Madras High Court has said the Insurance Regulatory Development Authority (IRDA) should make it compulsory to get "comprehensive policies" to avoid confrontation with insurers and in the interest of the public.
Justice N Kirubakaran of the HC bench here said he was worried over the denial of compensation to motor mishap victims for reasons such as owner's risk not covered, no coverage for persons other than the driver and no additional premium paid for extra passengers.
The judge's observation came as the court examined various steps that could be taken by the state government and the IRDA to prevent insurance companies from denying compensation to accident victims on one ground or the other.
Amicus curiae G Prabhu Rajadurai, who was appointed by the court to assist in disposing of a case, said the insurance policy conditions should be given in vernacular language so that people could understand them and insurer should clearly explain the consequences of violating the condition to the insured.
He also suggested that State should be made liable to pay the compensation to accident victims in hit and run cases. He said the government could be included as the third guarantor, the first two being vehicle owner and the insurance company so that victims could get compensation even if the offending vehicle could not be traced.
