FACTS
In November 27, 1973, petitioners Laura Velasco and Greta Acosta while riding in their Mercury car and driven by their driver Guarra collided with N/S taxicab driven by defendant Dominador Santos registered in the name of Alice Artuz c/o Norberto Santos. In July 20, l974, petitioners sued Santos, Artuz and N. Santos for actual, moral and exemplary damages plus attorney’s fees. Maharlika Insurance Co., Inc. was impleaded as a defendant with an allegation that the N/S taxicab involved was insured against third party liability for P20,000.00 at the time of the accident.Â
Both the accident and filing of the suit happened before effectivity on December 18, 1974 of Presidential Decree No. 612, the subsequent insurance law which repealed its predecessor.