Page 46 - The Motor Vehicles Act, 1988

(xlvi) THE MOTOR VEHICLES (AMENDMENT) ACT, 2019

(5) Where a cover note issued by the insurer under the provisions of this
Chapter or the rules or regulations made thereunder is not followed by a policy
of insurance within the specified time, the insurer shall, within seven days of
the expiry of the period of the validity of the cover note, notify the fact to the
registering authority or to such other authority as the State Government may
prescribe.
(6) Notwithstanding anything contained in any other law for the time
being in force, an insurer issuing a policy of insurance under this section shall
be liable to indemnify the person or classes of persons specified in the policy in
respect of any liability which the policy purports to cover in the case of that
person or those classes of persons.
148. Validity of policies of insurance issued in reciprocating countries
Where, in pursuance of an arrangement between India and any
reciprocating country, the motor vehicle registered in the reciprocating country
operates on any route or within any area common to the two countries and
there is in force in relation to the use of the vehicle in the reciprocating country,
a policy of insurance complying with the requirements of the law of insurance
for the time being in force in that country, then, notwithstanding anything
contained in section 147 but subject to any rules which may be made under
section 164B such policy of insurance shall be effective throughout the route or
area in respect of which the arrangement has been made, as if the policy of
insurance had complied with the requirements of this Chapter.
149. Settlement by insurance company and procedure therefor
(1) The insurance company shall, upon receiving information of the
accident, either from claimant or through accident information report or
otherwise, designate an officer to settle the claims relating to such accident.
(2) An officer designated by the insurance company for processing the
settlement of claim of compensation may make an offer to the claimant for
settlement before the Claims Tribunal giving such details, within thirty days
and after following such procedure as may be prescribed by the Central
Government.
(3) If, the claimant to whom the offer is made under sub-section (2),—
(a) accepts such offer,—
(i) the Claims Tribunal shall make a record of such settlement,
and such claim shall be deemed to be settled by consent; and
(ii) the payment shall be made by the insurance company within
a maximum period of thirty days from the date of receipt of
such record of settlement;
(b) rejects such offer, a date of hearing shall be fixed by the Claims
Tribunal to adjudicate such claim on merits.
150. Duty of insurers to satisfy judgments and awards against persons
insured in respect of third party risks
(1) If, after a certificate of insurance has been issued under sub-section (3)
of section 147 in favour of the person by whom a policy has been effected,