What is the News?
The Supreme Court issues directions to police, Motor Accidents Claims Tribunals(MACTs), and insurance companies regarding accident information reports. The aim of the directions is to make the compensation process to victims more smooth and claimant-friendly.
What was the case?
- The Insurance company Bajaj Allianz filed a writ petition in the Supreme Court. The petition raised the issue of the difficulty of accident victims, waiting for years for compensation.
- Bajaj Allianz said that the police take months to even file an accident report for submission before the Motor Accidents Claims Tribunals(MACTs). This is the norm in many parts of the country,
What did the Supreme Court say?
The Supreme Court issued directions to prevent delays in the disbursement of compensations to victims. The police, motor accident claims tribunals and insurers across the country have to uniformly practice these directions:
- Firstly, Accident Information Report: The jurisdictional police station shall report the accident under Section 159 of the Motor Vehicle Act. Further, the police need to send the report of the accident to the tribunal and insurer within the first 48 hours.
- Secondly, Detailed Accident Report: Police shall collect the documents relevant to the accident. This includes documents for computation of compensation and verification of the information and documents. This report shall be emailed to the tribunal and the insurer within three months.
- Thirdly, the tribunal shall issue summons along with the Report or the application for compensation to the insurer by email.
- Fourthly, the insurer shall email their offer for settlement/response to the Report to the tribunal.
- Fifthly, after passing the award, the tribunal shall email an authenticated copy of the award to the insurer.
- Sixthly, the insurer shall satisfy the award by depositing the awarded amount into a bank account maintained by the tribunal by RTGS or NEFT.
Further, the Supreme Court has also ordered the Centre to launch a national online platform. The platform could be operated and accessed across the country for submission of accident reports, claims and responses to claims. This would end the distress felt by victims during accidents that happened in places other than their native State.
Source: The Hindu