Section 2 of The Public Liability Insurance Act, 1991
Definitions.
In this Act, unless the context otherwise requires,-- 1 [(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, or injury to, any person or damage to any property but does not include an accident by reason only of war or radio-activity;]
- (b)"Collector" means the Collector having jurisdiction over the area in which the accident occurs;
- (c)"handling", in relation to any hazardous substance, means the manufacture, processing, treatment, package, storage, transportation by vehicle, use, collection, destruction, conversion, offering for sale, transfer or the like of such hazardous substance;
- (d)"hazardous substance" means any substance or preparation which is defined as hazardous substance under the Environment (Protection) Act, 1986 (29 of 1986), and exceeding such quantity as may be specified, by notification, by the Central Government;
- (e)"insurance" means insurance against liability under sub-section (1) of section 3;
- (f)"notification" means a notification published in the official Gazette; 2 (g) "owner" means a person who owns, or has control over handling, any hazardous substance at the time of accident and includes,--
- (i)in the case of firm, any of its partners;
- (ii)in the case of an association, any of its members; and
- (iii)in the case of a company, any of its directors, managers, secretaries or other officers who is directly in charge of, and is responsible to, the company for the conduct of the business of the company;]
- (h)"prescribed" means prescribed by rules made under this Act; 3[(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;] 4[ 5[(hb)] "Relief Fund" means the Environmental Relief Fund established under section 7A"; (i) "rules" means rules made under this Act;
- (j)"vehicle" means any mode of surface transport other than railways. 6[(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.]
Summary
- This section defines key terms used in the law to prevent confusion.
- An accident is a sudden or unintended event involving hazardous substances causing harm, but excludes events caused by war or radio-activity.
- The Collector is the local official holding jurisdiction over the area where the accident happens.
- Handling includes making, storing, using, and transporting hazardous substances by any surface transport except railways.
- An owner is anyone who owns or controls the handling of the hazardous substance, including company directors or firm partners.
- Hazardous substances are defined based on the Environment Protection Act 1986.
Practical examples
FAQ
1. Does an accident under this law include a nuclear power plant leak?
No, accidents caused by radio-activity are specifically excluded.
2. Who is considered an owner?
A person who owns or has control over handling the hazardous substance, which includes partners in a firm or directors in a company.
3. Are trains covered under the definition of vehicles?
No, vehicles mean any mode of surface transport other than railways.
4. Where is the definition for a hazardous substance found?
It is defined as a hazardous substance under the Environment Protection Act, 1986, exceeding quantities specified by the Central Government.
Test yourself
1.Under Section 2 of The Public Liability Insurance Act, 1991, the word insurance is defined as coverage against liability under Section 3. According to Section 3 of The Public Liability Insurance Act, 1991, does this liability cover factory employees injured on the job?
2.Under Section 2 of The Public Liability Insurance Act, 1991, the Relief Fund refers to the Environmental Relief Fund under Section 7A. According to Section 7A of The Public Liability Insurance Act, 1991, who officially establishes this fund?
3.Under Section 2 of The Public Liability Insurance Act, 1991, which of the following events is excluded from the definition of an accident?
4.Under Section 2 of The Public Liability Insurance Act, 1991, which transportation mode is explicitly excluded from the definition of a vehicle?
5.Under Section 2 of The Public Liability Insurance Act, 1991, what does the term Collector mean?