Motor Vehicles Act, 1988 - CHAPTER IX INSURANCE OF MOTOR VEHICLES AGAINST THIRD PARTY RISKS, section 155, section 156 and section 157

CHAPTER IX

INSURANCE OF MOTOR VEHICLES AGAINST THIRD PARTY RISKS
sections 155, section 156, and section 157

154. Insolvency of the insured person not to affect any liability of insured or claims by third parties,- Where a certificate of insurance has been issued to the person by whom a policy has been affected, the happening in relation to any person insured by the policy of any such event as is mentioned in sub-section (1) or sub-section (2) of section 150 shall, notwithstanding  anything contained in this Chapter shall not affect any liability of that person of the nature referred to in clause (b)  of sub-section (1) of section 147; but nothing in this section shall affect any right against the insurer confirmed under the provisions of sections 150, 151, and 152 on the person to whom that liability was incurred.

153. Effect of death on certain caused of action,- Not withstanding anything contained in section 306 of Indian Succession Act, 1925 (39 of 1925), the death of a person in whose favor a certificate of insurance had been issued, if it occurs after the occurring 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 taken out of the said event against the 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 confirming in all respects with the descriptions and particulars stated in such certificate; and

(b) The insurer had issued to the insurer the policy described in the certificate, but the actual terms of the policy are less favorable to the persons claiming under or by virtue of the policy against the insurer either directly or through  the insured that 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 confirming all respect  with the particulars stated in the said certificate.

157. Transfer of certificate of insurance,- (1) Where a person in whose name  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 of insurance shall be deemed to have been transferred in favor of the person to whom the motor vehicle is transferred with effect from the date of its transfer.

Explanation:- For removal of doubts, it is hereby declared that 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 insurance and the policy described in the certificate in his favor and the insurer shall make necessary changes in the certificate and the and the policy in regard to the certificate of insurance.