Insurance Company Not Liable To Indemnify Gratuitous Passenger In Goods Vehicle: Himachal Pradesh High Court

The Himachal Pradesh High Court ruled on insurance company liability regarding compensation for gratuitous passengers under the Motor Vehicles Act. The judgment clarifies that insurers cannot avoid liability for non-fare paying passengers unless specifically excluded in the policy. The court emphasized the social welfare objective of the MV Act, prioritizing victim compensation over technical policy interpretations. This decision impacts how insurance companies assess risk and premium calculations for commercial vehicles while strengthening protection for accident victims regardless of their fare-paying status.