The Madras High Court has ruled that a borrower of a vehicle is equivalent to the owner in terms of liability and therefore, cannot claim compensation for an accident. According to the Motor Vehicles Act, when a person borrows a vehicle, they assume the responsibilities and liabilities associated with its ownership, at least in the context of accidents. This means that if the borrower is involved in an accident, they cannot seek compensation as they would be considered the owner of the vehicle for the purposes of the Act. The court’s decision effectively places the borrower in the shoes of the owner, making them responsible for any damages or liabilities arising from the accident, rather than allowing them to claim as a third party might.

The Madras High Court has ruled that a borrower of a vehicle is equivalent to the owner in terms of liability and therefore, cannot claim compensation for an accident. According to the Motor Vehicles Act, when a person borrows a vehicle, they assume the responsibilities and liabilities associated with its ownership, at least in the context of accidents. This means that if the borrower is involved in an accident, they cannot seek compensation as they would be considered the owner of the vehicle for the purposes of the Act. The court’s decision effectively places the borrower in the shoes of the owner, making them responsible for any damages or liabilities arising from the accident, rather than allowing them to claim as a third party might.

by | Oct 31, 2025 | Insurance, New India Assurance, United India Insurance

The Madras High Court has ruled that a person who borrows a vehicle from its owner cannot claim compensation similar to a third party. This decision was made by Justice R Poornima of the Madurai bench, who referenced a Supreme Court case, Ramkhiladi and another Vs....