Rajasthan High Court Seeks Explanation From Insurance Company's Regional Manager Over Negligence In Defending Motor Accident Claim

The Rajasthan High Court has sought an explanation from United India Insurance Company's Chief Regional Manager in Rajasthan over the insurer's negligent defence of a motor accident compensation claim before the Motor Accident Claims Tribunal (MACT).

A bench of Justice Ashok Kumar Jain observed that the impugned order indicated negligence on the part of the insurance company in defending the case before the Tribunal. The Court has directed the Chief Regional Manager to explain the methodology adopted to monitor motor accident claim cases across Rajasthan and the procedure followed for appointing and assigning lawyers to defend such cases.

The matter arose from an appeal filed by United India Insurance Company challenging a ₹5 lakh compensation award passed by the Tribunal. The insurer contended that the Tribunal had presumed the death of the deceased without any police report or FIR.

The Court observed,

“The insurance company is a nationalized bank owned by the Government of India, therefore, it is appropriate to call the Chief Regional Manager of the company in the State of Rajasthan to show what are the methodology adopted to monitor the MAC cases in the State of Rajasthan and also the procedure adopted for appointment of lawyers to defend the case filed against the insurance company, along with assignment of cases.”

The Court directed the concerned Chief Regional Manager to submit the required information by way of an affidavit and appear before it on the next date of hearing.

Meanwhile, the Court stayed the compensation award dated June 11, 2026, until the next hearing, scheduled for November 2, 2026.