Skandia Insurance Co. Ltd vs Kokilaben Chandravadan & Ors on 1 April, 1987
10. Above all, applying the ratio of judgment in Skandia Insurance Co. Ltd. v. Kokilaben Chandravadan 1987 ACJ 411 (SC), we are of the opinion that in the facts and circumstances of this case the appellant owner had done whatever was within his power, inasmuch as he has engaged a licensed driver and given him mandate to drive it himself, as such, it cannot be said that he is guilty of any breach disentitling him to get the compensation amount from the insurance company. The appellant owner cannot be penalised, as has been done by the Tribunal, as it was not expected of him to make detailed verification from the licensing authorities from where the licence was issued and renewed before engaging his driver. Therefore, we have no hesitation to hold that the insurance company is liable to indemnify the appellant owner for the compensation awarded to the claimants. Mr. Ashwani Kumar Sharma has tried to the another point that the accident had not occurred due to the negligence of the driver of the tractor but that of the driver of the bus We are not permitting this argument as by now it is well settled that this defence is not available to the insurance company.