THE PUBLIC LIABILITY INSURANCE ACT, 1991

1991 · State unknown · central · act_text

Sections (65)

1 · Short title and commencement . — (1) This Act may be called the Public Liability Insurance Act, 1991.

2 · Definitions . — In this Act, unless the context otherwise requires , —

2 · [(a) " accident " means an accident involving a fortuitous or sudden or unintended occurrence while handling any hazardous substance resulting in continuous or intermittent or repeated exposure to death of, f, or injury to, any person or damage to any property but does not include an accident by reason only of war or radio-activity;]

3 · [(g) " owner " means a person who owns, or has control over handling , any hazardous substance at the time of accident and includes, —

4 · [(ha) " property " includes any private property or public property affected or damaged by any unit or undertaking, due to manufacture, processing, treatment, package, storage, transportation, use, collection, destruction, conversion, transfer or such other processes of hazardous substance;]

5 · [ 6 [(hb)] " Relief Fund " means the Environmental Relief Fund established under section 7A];

1 · 1st April, 1991, vide notification No. G.S.R 253, dated 27th March, 1991, see Gazette of India Ordinary, Part II sec. 3(i).

2 · Subs. by Act 11 of 1992, s. 2, for clause (a) (w.e.f. 31-1-1992).

3 · Subs. by s. 2, ibid., for clause (g) (w.e.f. 31-1-1992).

4 · Ins. by Act 18 of 2023, s. 2 and Schedule (w.e.f 1-4-2024).

5 · Ins. by Act 11 of 1992 , s. 2, (w.e.f. 31-1-1992).

6 · Clause (ha) shall be renumbered as clause (hb) thereof by Act 18 of 2023, s. 2 and Schedule (w.e.f. 1-4-2024).

1 · [(k) words and expressions used and not defined in this Act but defined in the Transfer of Property Act, 1882 (4 of 1882), and the Environment (Protection) Act,1986 (29 of 1986), shall have the meanings respectively assigned to them in those Acts.]

3 · Liability to give relief in certain cases on principle of no fault . — 2 [(1) Where death or injury to any person (other than a workman) or damage to any property has resulted from an accident, the owner shall be liable to reimburse such amount, or provide such other relief as may be prescribed, for—

4 · . Duty of owner to take out insurance policies.— 2 [(1) Every owner of any undertaking shall take out, before he starts handling any hazardous substance, one or more insurance policies for such undertaking or unit providing for contracts of insurance whereby he is insured against liability to give such relief or reimburse such amount referred to in sub -section (1) of section 3.

3 · [ 4 [(2A) An insurance policy taken out or renewed by an owner for any undertaking or unit shall be for an amount which shall not be less than the amount of the paid-up capital of that undertaking or unit handling any hazardous substance owned or controlled by that owner and may extend to such amount as may be prescribed but not exceeding five hundred crore rupees.

1 · Ins. by Act 18 of 2023, s. 2 and Schedule (w.e.f. 1-4-2024).

2 · Subs. by s. 2 and Schedule, ibid., for sub-section (1) (w.e.f. 1-4-2024).

3 · Ins. by Act 11 of 1992, s. 3 (w.e.f. 31-1-1992).

4 · Subs. by Act 18 of 2013, s. 2 and Schedule (w.e.f. 1-4-2024).

5 · Verification and publication of accident by Collector . — Whenever it comes to the notice of the Collector that an accident has occurred at any place within his jurisdiction, he shall verify the occurrence of such accident and cause publicity to be given in such manner as he deems fit for inviting applications under sub -section (1) of section 6 .

6 · Application for claim for relief . — (1) An application for claim for relief may be made—

1 · [(1A) Where any damage has been caused to any public property or private property due to manufacture, processing, treatment, package, storage, transportation, use, collection, destruction, conversion, transfer or such other processes, of such hazardous substance, an application for claim for restoration of the property may be made by the owner of the property or such other person, as may be prescribed, to the Collector.]

1 · Ins. by Act 18 of 2023, s. 2 and Schedule (w.e.f. 1-4-2024).

7 · Award of relief . — (1) On receipt of an application under sub-section (1) of section 6, the Collector shall , after giving notice of the application to the owner and after giving the parties an opportunity of being heard, hold an inquiry into the claim or, each of the claims, and may make an award determining the amount of relief which appears to him to be just and specifying the person or persons to whom such amount of relief shall be paid.

1 · [(3) When an award is made under this section,—

2 · [(8) Where an owner is likely to remove or dispose of his property with the object of evading payment by him of any amount of award, the Collector may, in accordance with the provisions of rules 1 to 4 of Order XXXIX of the First Schedule to the Code of Civil Procedure, 1908 (5 of 1908), grant a temporary injunction to restrain such act.]

3 · [(9) Where the environment is affected or damaged due to manufacture, processing, treatment, package, storage, transportation, use, collection, destruction, conversion, transfer or such other processes, of such hazardouss substance, the Central Government may, on an application made by the Central Pollution Control Board or the State Pollution Control Board, as the case may be, allocate the fund from the Environmental Relief Fund for restoration of the damage so caused in the manner as may be prescribed.]

4 · [7A. Establishment of Environmental Relief Fund . — (1) The Central Government may, by notification, establish a fund to be known as the Environmental Relief Fund.

1 · Subs. by Act 11 of 1992, s. 4, for sub-section (3) (w.e.f. 31-1-1992).

2 · Ins. by s. 4, ibid. (w.e.f. 31-1-1992).

3 · Ins. by Act 18 of 2023, s. 2 and Schedule (w.e.f. 1-4-2024).

4 · Ins. by Act 11 of 1992, s. 5, (w.e.f. 31-1-1992).

1 · [(1A) There shall be credited to the Relief Fund established under sub-section (1)—

8 · Provisions as to other right to claim compensation for death, etc . — (1) The right to claim relief under sub -section (1) of section 3 in respect of death of, or injury to, any person or damage to any property shall be in addition to any other right to claim compensation in respect thereof under any other law for the time being in force.

9 · Power to call for information . —A —Any person authorised by the Central Government may, for the purposes of ascertaining whether any requirements of this Act or of any rule or of any direction given under this Act have been compiled with, require any owner to submit to that person such information as that person may reasonably think necessary.

10 · Power of entry and inspection . —A —Any person, authorised by the Central Government in this behalf, shall have a right to enter, at all reasonable times with such assistance as he considers necessary, any place, premises or vehicle, where hazardous substance is handled for the purpose of determining whether any provisions of this Act or of any rule or of any direction given under this Act is being or has been compiled with and such owner is bound to render all assistance to such person.

11 · Power of search and seizure . — (1) If a person, authorised by the Central Government in this behalf, has reason to believe that handling of any hazardous substance is taking place in any place , premises or vehicle, in contravention of sub-section (1) of section 4, he may enter into and search such place, premises or vehicle for such handling of hazardous substance.

12 · Power to give directions . —N —Notwithstanding anything contained in any other law but subject to the provisions of this Act, the Central Government may, in exercise of its powers and performance of its

1 · Ins. by Act 18 of 2023, s. 2 and Schedule (w.e.f. 1-4-2024).

13 · Power to make application to Courts for restraining owner from handling hazardous substances . — (1) If the Central Government or any person authorised by that Government in this behalf has reason to believe that any owner has been handling any hazardous substance in contravention of any of the provisions of this Act, that Government or, as the case may be, that person may make an application to a Court, not inferior to that of a Metropolitan Magistrate or a Judicial Magistrate first class for restraining such owner from such handling.

1 · [14. Penalty for contravention.— (1) Where any person contravenes any of the provisions of sub -section (1), sub-section (2), sub-section (2A) or sub-section (2C) of section 4, he shall be liable to penalty equal to the amount of annual premium for insurance policy and may extend to twice the amount of such premium.

15 · Penalty for non-compliance of directions.—(1) Where any person does not comply with any direction issued under section 12, he shall be liable to penalty which shall not be less than ten thousand rupees which may extend to fifteen lakh rupees.

15A · Adjudicating officer.— (1) The Central Government, for the purposes of determining the penalties under sections 14 or 15, may appoint the District Magistrate having jurisdiction over the area or an officer not below the rank of Director to the Government of India or an officer not below the rank of

1 · Subs. by Act 18 of 2023, s. 2 and Schedule for sections 14 and 15 (w.e.f. 1-4-2024).

15B · Appeal.—(1) Whoever aggrieved by the order, passed by the adjudicating officer under section 15A, may prefer an appeal to the National Green Tribunal established under section 3 of the National Green Tribunal Act, 2010 (19 of 2010).

16 · . [Offences by companies . ]—Omitted by the Jan Vishwas (Amendment of Provisions) Act, 2023 (18 of 2023), s. 2 and Schedule (w.e.f. 1-4-2024).

1 · [17 . Penalty for contravention by Government Department.—(1) Where contravention of any provision of this Act has been committed by any Department of the Central Government or State Government, the Head of the Department shall be liable to penalty equal to one month of his basic salary:

17A · Penalty amount to be credited to Environmental Relief Fund.—Where any penalty or additional penalty, as the case may be, is imposed under section 14 or section 15 or section 17, the amount of such penalty shall be credited to the Environmental Relief Fund established under section 7A.

17B · Offence for failure to pay penalty or additional penalty.—(1) Where any person fails to pay the penalty or additional penalty imposed for—

1 · Subs. by Act 18 of 2023, s. 2 and Schedule for section 17 (w.e.f. 1-4-2024).

18 · Cognizance of offences . —N —No court shall take cognizance of any offence under this Act except on a complaint made by—

19 · Power to delegate . — The Central Government may, by notification , delegate, subject to such conditions and limitations as may be specified in the notification, such of its powers and functions under this Act (except the power under section 23) as it may deem necessary or expedient to any person (including any officer, authority or other agency).

20 · Protection of action taken in good faith . —N —No suit, prosecution or other legal proceeding shall lie against the Government or the person, officer, authority or other agency in respect of anything which is done or intended to be done in good faith in pursuance of this Act or the rules made or orders or directions issued thereunder.

21 · Advisory Committee . — (1) The Central Government may, from time to time, constitute an Advisory Committee on the matters relating to the insurance policy under this Act.

22 · Effect of other laws . — The provisions of this Act and any rules made thereunder shall have effect notwithstanding anything inconsistent therewith contained in any other law .

23 · Power to make rules . — (1) The Central Government may, by notification, make rules for carrying out the purposes of this Act.

1 · [ 2 [(a) such amount under subsection (2A) of section 4;]

3 · [(ac)] establishment and maintenance of fund under sub-section (3) of section 4;

4 · [(ea) amount or relief and any other loss or damage under subsection (1) of section 3;

1 · Ins. by Act 11 of 1992, s. 7 (w.e.f. 31-1-1992).

2 · Subs. by Act 18 of 2023, s. 2 and Schedule for clause (a) (w.e.f. 1-4-2024).

3 · Clause (a) shall be re-lettered as clause (ac) by Act 11 of 1992, s. 7, (w.e.f. 31-1-1992).

4 · Ins. by Act 18 of 2023, s. 2 and Schedule (w.e.f. 1-4-2024).

5 · Subs. by Act 11 of 1992, s. 7, for “rule” (w.e.f. 31-1-1992).

Subordinates (32)

[To be published in the Gazette of India, Extraordinary, Part-II, Section 3, Sub-section (i)]

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a.5v"' .-33004/92

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VIRrf ^ T TTST^ : SRHafK"!

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'2 676 REGD. NO. D L-3300+42 3l4Tq 2_

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18/13/91 (fr.rr^r.) q^.^.qjr.^-.]

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REGD. NO. DL -33004'92

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New Delhi; the 15 t November; 1991

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[In II__8 % (ii)]

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MTT M TGTR HTTTHI-ut

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KLGD [BRED NO, 0. @N)1n

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MTId #( {na Ketettu

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THE PUBLIC LIABILITY INSURANCE RULES , 1991

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7uz} %o #o QQo-33004/99

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(New Delhi , the l9 th March , 1993)

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THE PUBLIC LIABILITY INSURANCE RULES, 1991

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REGIETERED NO. ED MAi27

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[To be published in the Gazette of India, Extraordinary, Part-II, Section 3, Sub-section (i)]

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(New Delhi , the 27 th March , 1991)

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New Delhi; the 15 t November; 1991

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THE PUBLIC LIABILITY INSURANCE ACT , 1991

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THE PUBLIC LIABILITY INSURANCE ACT, 1991

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(New Delhi; the I9 th March; 1993)

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(New Delhi; the 27 th March; 1991) GSR.253 In exercise of the powers conferred by sub-section (2) of section of the Public Liability Insuran

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New Delhi , the 15 th November , 1991

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EXTRACT FROM THE GAZETTE OF INDIA : PARI II , SEC . 3 , SUB . SEC . (i)

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REGD NO. L.-33004/99

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ir^/gjr mr-sRftir iftm I fa ' wivsffiiw

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New Delhi , the 15 th November , 1991

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MINISTRY OF ENVIRONMENT AND FORESTS NOTIFICATION New Delhi, the 24th March; 1992

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MINISTRY OF ENVIRONMENT AND FORESTS NOTIFICATION

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XTRACT' FRUM 'HE CAZETK OF INDiA Pakt" I, SEC: 3, SUw. SiC. (i) Appea inf on Pagc No. {003 Datcd : 13.4.6/ qijezvr atr #i sauq MINisi} OF' E

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