In a case highlighting prolonged delays in accident compensation disputes, the Bombay High Court has dismissed an appeal filed by an insurance company challenging a Motor Accident Claims Tribunal (MACT) award of ₹74,422. The court upheld the tribunal’s finding that the vehicle involved in the 1996 accident was validly insured at the time.
Background of the Case
The appeal arose from an order dated October 19, 2011, passed by the MACT, Mumbai. The tribunal had granted compensation to a minor claimant who suffered injuries in a road accident on October 19, 1996.
The insurer, The Oriental Insurance Co. Ltd., approached the High Court contending that it bore no liability because the insurance policy had allegedly expired on August 26, 1996 nearly two months before the accident.
Notably, the appeal itself remained pending for over 15 years before being taken up for hearing.
Justice Jitendra Jain examined the core issue whether the vehicle was insured on the date of the accident.
The tribunal had earlier analyzed evidence from both sides, including records from the Regional Transport Office (RTO). It concluded that the insurer failed to prove that the policy had lapsed. Instead, the available material indicated that the vehicle was indeed insured.
Agreeing with this reasoning, the High Court observed that there was no material to contradict the tribunal’s findings.
“The Tribunal has considered each and every piece of evidence… nothing has been produced to show that these findings are contrary to the record,” the bench noted.
Before concluding, the court made significant remarks on systemic delays in motor accident compensation cases.
Justice Jain pointed out that claimants often wait years to receive compensation due to prolonged proceedings at both tribunal and appellate stages. He observed that even after a tribunal award, appeals in High Courts can delay relief by another 8 to 10 years.
“The whole purpose of granting compensation gets frustrated,” the court remarked, referring to delays that deprive victims of timely financial support.
The court also cited large pendency figures across tribunals and High Courts, emphasizing the need for structural reforms.
The judgment recommended that the Union Government consider establishing a specialized appellate tribunal for motor accident cases. Such a forum, the court suggested, could ensure faster resolution and reduce the burden on High Courts.
Referring to similar observations made earlier by the Supreme Court, the bench stated that a dedicated appellate body would better serve the purpose of timely compensation.
Rejecting the insurer’s arguments, the Bombay High Court upheld the MACT award and dismissed the appeal.
“I… uphold the order of the Tribunal and dismiss the appeal,” the court concluded.
Consequently, all pending civil applications were also disposed of.
Case Details
Case Title: The Oriental Insurance Co. Ltd. vs. Sandeep Sunder Kolhe & Ors.
Case Number: First Appeal (ST.) No. 35338 of 2012
Judge: Justice Jitendra Jain
Decision Date: April 22, 2026
