Page 130 - The Motor Vehicles Act, 1988

116 THE MOTOR VEHICLES ACT, 1988 SECTION 157

154. Saving in respect of sections 151, 152 and 153
(1) For the purposes of sections 151, 152 and 153, a reference to “liabilities to third
parties” in relation to a person insured under any policy of insurance shall not include
a reference to any liability of that person in the capacity of insurer under some other
policy of insurance.
(2) The provisions of sections 151, 152 and 153 shall not apply where a company is
wound-up voluntarily merely for the purposes of reconstruction or of an amalgamation
with another company.
155. Effect of death on certain causes of action
Notwithstanding anything contained in section 306 of the Indian Succession Act,
1925 (39 of 1925), the death of a person in whose favour a certificate of insurance had
been issued, if it occurs after the happening of an event which has given rise to a claim
under the provisions of this Chapter, shall not be a bar to the survival of any cause of
action arising out of such event against his estate or against the insurer.
156. Effect of certificate of insurance
When an insurer has issued a certificate of insurance in respect of a contract of
insurance between the insurer and the insured person, then—
(a) if and so long as the policy described in the certificate has not been issued
by the insurer to the insured, the insurer shall, as between himself and any
other person except the insured, be deemed to have issued to the insured
person a policy of insurance conforming in all respects with the description
and particulars stated in such certificate; and
(b) if the insurer has issued to the insured the policy described in the certificate,
but the actual terms of the policy are less favourable to persons claiming
under or by virtue of the policy against the insurer either directly or through
the insured than the particulars of the policy as stated in the certificate, the
policy shall, as between the insurer and any other person except the insured,
be deemed to be in terms conforming in all respects with the particulars
stated in the said certificate.
157. Transfer of certificate of insurance
(1) Where a person, in whose favour the certificate of insurance has been issued in
accordance with the provisions of this Chapter, transfers to another person the ownership
of the motor vehicle in respect of which such insurance was taken together with the
policy of insurance relating thereto, the certificate of insurance and the policy described
in the certificate shall be deemed to have been transferred in favour of the person to
whom the motor vehicle is transferred with effect from the date of its transfer.
Explanation : For the removal of doubts, it is herby clarified that such deemed
transfer shall include transfer of rights and liabilities of the said certificate of insurance
and policy of insurance.
(2) The transferee shall apply within fourteen days from the date of transfer in the
prescribed form to the insurer for making necessary changes in regard to the fact of
transfer in the certificate of insurance and the policy described in the certificate in his
favour, and the insurer shall make the necessary changes in the certificate and the policy
of insurance in regard to the transfer of insurance.