IMPORTANT POINTS
(1) Death in motor accident – Amounts received by dependants of deceased under employer-provided group insurance or other contractual or social security benefits cannot be treated as “pecuniary advantages” liable to be deducted from compensation awarded under Motor Vehicles Act, 1988.
(2) Principle of balancing loss and gain cannot be invoked to diminish statutory entitlement of claimants to just compensation.

JUDGMENT

PRASANNA B. VARALE, J

FACTUAL MATRIX IN CIVIL APPEAL NO.5490-5491

1. Civil Appeal No. 5490-5491 of 2025 arises from the impugned judgment and order dated 10.06.2021 passed by the High Court of Karnataka at Bengaluru, in MFA NO. 2593 Of 2020 C/W MFA.NO. 3299 Of 2020 wherein the High Court partly allowed the appeals by modifying the Tribunal’s order. Aggrieved by the same, the appellant has Preferred the present appeal.

2. On 30.07.2018, the deceased P. Visweswar was riding a motor cycle bearing registration No. KA-01-JA-0746. When he reached near Bharath Petrol Bunk, Murakambattu, Chittor, a KSRTC bus bearing Registration No.KA-06-F-1126, being driven in a rash and negligent manner, came to the wrong side and dashed against the deceased’s motor cycle. As a result of the aforesaid accident, the deceased sustained grievous injuries and subsequently succumbed to the same. The claimants thereupon filed a Claim petition MVC No. 4788/2018 under Section 166 of the Motor Vehicles Act, 1988 before the MACT, Bengaluru, claiming Rs.1,00,00,000 as compensation along with interest. The claimants averred that the deceased was aged about 34 years at the time of accident and was employed as a team manager at Accenture, Bangalore and was earning Rs. 70,000-/ per month. The Tribunal after careful consideration held that the bus driver was negligent and assessed compensation at Rs. 69,07,710 and deducted Rs. 35,48,000-/ (group insurance amount) and granted award for Rs.33,59,710 with 6% interest per annum. Aggrieved by the tribunal’s judgment, an appeal was preferred by the claimants seeking enhancement of the compensation awarded. High Court after setting aside the deductions made by tribunal under the employee group insurance, granted a compensation of Rs. 69,07,710-/ to the claimants. challenging the said order the appellants/KSRTC preferred these appeals.

FACTUAL MATRIX IN CIVIL APPEAL NO’S.5492-5493

3. This set of appeals arise from the impugned judgment and order dated 17.11.2020 passed by the High Court of Karnataka at Bengaluru, in MFA NO. 9538 Of 2017 wherein the High Court reassessed the compensation at Rs.59,95,944 with 6% interest, setting aside the deduction of Rs.10 lakh (group insurance), and directed the insurer to deposit the amount. Aggrieved by the same, the appellant has Preferred the present appeals.

4. On 20.01.2015, at about 7.30 p.m., the deceased Celestine Dsouza was proceeding on her Honda Activa bearing registration No. KA- 03/EL-6810, near Johnson Market Junction, Hosur Lashkar Road, Bengaluru, at that time, a bus bearing registration No.??-22/B-7817 ,being driven in a rash and negligent manner, dashed against the deceased's motorcycle from backside. As a result, the deceased fell on the ground and the bus ran over her leading to her death. The legal representatives of the deceased filed MVC No. 1178/2015 under Section 166 of the Motor Vehicles Act, 1988 before the MACT, Bengaluru, claiming Rs.75,00,000 as compensation. It was averred that the deceased was aged about 47 years at the time of accident and was employed with M/s Cox and King Ltd., as Assistant Manager and was earning Rs. 47,000/- per month. The Tribunal after careful consideration held the bus driver was negligent and assessed compensation Rs.63,04,878. The tribunal deducted an amount Rs.10,00,000 which was received by the claimants under an employee Group Insurance Scheme provided by the employer, And the tribunal awarded compensation of Rs.53,04,878 with interest at 7.5% per annum to the claimants. Aggrieved thereby, both the parties preferred their respective appeals before the High Court. Wherein, the High Court modified the award of the tribunal and fixed the compensation at Rs. 59,95,944-/ without any deductions under the employee group insurance. Aggrieved by the same, the present appeal is Preferred by the appellant/insurance company.

SUBMISSIONS

5. It is pertinent to note that the present set of appeals though rest on separate facts, the underlyin