Section 152 Motor Vehicles Act: Duty to give information as to insurance

Section 152 of Motor Vehicles Act: Motor Vehicle Regulation & Claims Procedure

Official Bare Act Text

Override / Mandate Mens Rea (Intent) Actus Reus (Conduct) Punishment Limitation Monetary

(1) No person against whom a claim is made in respect of any liability referred to in clause (b) of sub-section (1) of section 147 shall, on demand by or on behalf of the person making the claim, refuse to state whether or not he was insured in respect of that liability by any policy issued under the provisions of this Chapter, or would have been so insured if the insurer had not avoided or cancelled the policy, nor shall he refuse, if he was or would have been so insured, to give such particulars with respect to that policy as were specified in the certificate of insurance issued in respect thereof.

(2) In the event of any person becoming insolvent or making an arrangement with his creditors or in the event of an order being made for the administration of the estate of a deceased person according to the law of insolvency, or in the event of a winding-up order being made or a resolution for a voluntary winding-up being passed with respect to any company or of a receiver or manager of the company's business or undertaking being duly appointed or of possession being taken by or on behalf of the holders of any debentures secured by a floating charge on any property comprised in or subject to the charge, it shall be the duty of the insolvent debtor, personal representative of the deceased debtor or company, as the case may be, or the official assignee or receiver in insolvency, trustee, liquidator, receiver or manager, or person in possession of the property to give, on the request of any person claiming that the insolvent debtor, deceased debtor or company is under such liability to him as is covered by the provision of this Chapter, such information as may reasonably be required by him for the purpose of ascertaining whether any rights have been transferred to and vested in him by section 151 and for the purpose of enforcing such rights, if any, and any such contract of insurance as purports whether directly or indirectly to avoid the contract or to alter the rights of the parties thereunder upon the giving of such information in the events aforesaid, or otherwise to prohibit or prevent the giving thereof in the said events, shall be of no effect.

(3) If, from the information given to any person in pursuance of sub-section (2) or otherwise, he has reasonable ground for supporting that there have or may have been transferred to him under this Chapter rights against any particular insurer, that insurer shall be subject to the same duty as is imposed by the said sub-section on the persons therein mentioned.

(4) The duty to give the information imposed by this section shall include a duty to allow all contracts of insurance, receipts for premiums, and other relevant documents in the possession or power of the person on whom the duty is so imposed to be inspected and copies thereof to be taken.

Legal Commentary & Landmark Judgments: Section 152

Section 152 of the Motor Vehicles Act, 1988 imposes a mandatory statutory duty on tortfeasors, insolvent debtors, liquidators, and insurers to disclose full insurance particulars, certificates, and policy documents to prospective motor accident claimants upon demand.

Mandatory Duty to Disclose Insurance Status: Section 152(1) strictly prohibits any person against whom a third-party claim is made from refusing to state whether they were insured, or refusing to disclose the certificate of insurance particulars specifying policy number, insurer identity, and coverage dates.
Duty of Insolvency Administrators and Liquidators: Section 152(2) makes it the affirmative duty of an insolvent debtor, official assignee, liquidator, receiver, or manager to furnish all information reasonably required to ascertain whether rights have vested in the claimant under Section 151.
Insurer's Reciprocal Duty and Document Inspection: Under Section 152(3) and (4), the insurer itself is subject to the same disclosure duty, and the statutory duty expressly includes allowing the claimant to inspect and take copies of all insurance contracts, cover notes, and premium receipts.

Key Landmark Precedents:

United India Insurance Co. Ltd. v. Santro Devi (2009) 1 SCC 558: The Supreme Court emphasized that statutory obligations under Chapter XI require transparent disclosure of insurance coverage and driving credentials, holding that insurers and owners cannot conceal policy documents to defeat third-party claims.
National Insurance Co. Ltd. v. Swaran Singh (2004) 3 SCC 297: The Supreme Court noted that the statutory disclosure mechanisms under Section 152 are intended to facilitate speedy adjudication by preventing evasive non-disclosure of insurance cover by owners and drivers involved in motor collisions.

Courtroom Practice & Strategic Litigation Guidance:

In hit-and-run or evasive owner litigation where the driver or owner refuses to produce the insurance policy, serve a formal written notice under Section 152. If they fail to comply, file an application before the MACT under Section 152(4) requesting a subpoena against the insurer and an order directing the RTO to produce the vehicle's online insurance verification record (Vahan portal).

Section 152: Duty to give information as to insurance

Section 152 of Motor Vehicles Act: Motor Vehicle Regulation & Claims Procedure

Legal Commentary & Landmark Judgments: Section 152