Page 297 - Motor Insurance Ebook IC 72

Guide for Motor Insurance

the insurer to prove a breach of a condition of policy to
the extent enumerated in the clause. Clause (b) gives
him the right to defend action on the ground that the
policy is void as it was obtained by non-disclosure of a
material fact or a material false representation of fact.

Defences of an Insurer
The right of an insurer to be made a party to the action
by the victim of road accident is created by a specific
statute (M.V.Act). Apart from this statutory right, the
insurer has no right to be made a party to the action. It
follows, therefore, that an insurer can take defences
only on the grounds enumerated in sub-section (2) of
Section 149 of the 1998 Act.

Clause (a) of the said sub section provides for
repudiating an insurer's liability on the ground of breach
of specified conditions of the policy as given in this
clause and in such a case onus lies upon the insurer to
prove a breach of a condition of policy to the extent
enumerated in the clause.

Clause (b) gives him the right to defend action on the
ground that the policy is void as it was obtained by non-
disclosure of a material fact or a material false
representation of fact.

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