IN THE HIGH COURT OF KERALA AT ERNAKULAM
JOBIN SEBASTIAN, J.
Chaithanaya W/o. (Late) Selin - Appellant
Versus
The New India General Ins.Co.Ltd - Respondent
MACA NO. 2151 OF 2018
Decided On : 11-03-2025
(A) Motor Vehicles Act, 1988 - Compensation for death in motor accident - Appeal for enhancement of compensation awarded by tribunal - Tribunal awarded Rs.17,67,700/-; petitioners claimed inadequacy - Monthly income assessed at Rs.7,000/-; petitioners claimed Rs.20,000/- - Tribunal's assessment of Rs.10,000/- notional income upheld, with 40% addition for future prospects - Total compensation under loss of dependency recalculated to Rs.21,42,000/-; additional Rs.6,42,600/- awarded - Loss of consortium awarded to parents - Emotional dependency recognized for siblings. (Paras 9 - 14 )
(B) Dependency - Definition of dependency extends beyond financial support; emotional and physical support considered. (Paras 12 - 13 )
(C) Appeal - Court's role in assessing adequacy of compensation; not merely substituting views of lower tribunal. (Paras 8 , 10 )
JUDGMENT :
The petitioners in OP(MV) No.1443/2016 on the file of the Principal Motor Accidents Claims Tribunal, Kozhikode have preferred this appeal seeking enhancement of compensation awarded by the tribunal on account of the death of Selin, who died in a motor accident that occurred on 30.07.2015.
2. The petitioners’ case in brief is as follows:
On 30.07.2015 at about 8.30 a.m., while Selin, the deceased in this case was traveling from Kozhikode to Wayanad in a car bearing registration No.KL-05-AC-1786 driven by the 2nd respondent in a rash and negligent manner, it hit a tree standing on the side of the road at Koolivayal. Due to the impact of the hit, Selin sustained serious injuries. Immediately after the accident, though the injured was rushed to the Medical College Hospital, Kozhikode, on 05.08.2015, he succumbed to the injuries.
3. The owner and the driver of the offending car were arrayed as the 1st and the 2nd respondents respectively, whereas, the insurer of the car was arrayed as the 3rd respondent.
4. The 3rd respondent contested the petition by filing a written statement mainly disputing the quantum of compensation claimed.
5. During trial, from the side of the petitioners Exts.A1 to A8 were produced and marked. From the side of the respondents, no evidence, whatsoever, was adduced.
6. After trial, the tribunal came to the conclusion that the accident occurred due to the rash and negligent driving of the car bearing registration No.KL-05-AC-1786 by the 2nd respondent and being the insurer, the 3rd respondent was held liable to pay the compensation awarded. The compensation was quantified as Rs.17,67,700/- with interest at the rate of 8% per annum from the date of petition till realisation and proportionate costs. Dissatisfied by the compensation awarded by the tribunal, the petitioners have come up with this appeal, seeking enhancement of compensation.
7. I heard Smt. Rashmi K.V., the learned counsel for the appellants and Sri. Lal K Joseph, the learned counsel for the respondent insurance company.
8. From the rival contentions raised it is discernible that the main dispute that revolves around this appeal is with respect to the quantum of compensation awarded by the tribunal. The learned counsel for the appellants/petitioners would submit that the compensation awarded by the tribunal is too meager and is not sufficient to compensate for the loss of the bereaved family of the deceased. Per contra, the learned counsel for the respondent would submit that the compensation awarded by the tribunal on various heads is just, fair, reasonable, and adequate and warrants no interference.
9. A perusal of the award reveals that for the purpose of determining compensation under the head of loss of dependency, the tribunal assessed the monthly income of the deceased at Rs.7,000/-. In the petition, it was claimed that the deceased was running a mobile shop earning a monthly income of Rs.20,000/-. Apart from taking such a contention, no evidence, whatsoever, was adduced from the side of the petitioners to substantiate their claim regarding the occupation and income of the deceased. Nonetheless, the accident occurred in the year 2015. Therefore in view of the decision in Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Ltd. , [(2011) 13 SCC 236] , the tribunal ought to have assessed the monthly income of the deceased at Rs.10,000/- notionally. The deceased was admittedly aged 26 years at the time of the accident. Applying the principles in National Insurance Company Ltd. v. Pranay Sethi , [2017(4) KLT 662] an addition of 40% has to be made to the actual income of the deceased towards future prospects. Resultantly, the income of the deceased can reasonably be fixed at Rs.14,000/-[Rs.10,000/- + Rs.4,000/-].
10. As the total number of dependants is five, 1/4th of the income has to be deducted towards his personal expenses. After deducting the same, the monthly income of the deceased can be assessed at Rs. 10,500/- (Rs.14,00
Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Company Ltd.
The court emphasized that dependency includes emotional support, not just financial, and recalculated compensation based on notional income and future prospects.
Court clarified the dependency criteria for compensation in fatal accidents, emphasizing bereaved family members' rights under social welfare legislation.
Major children can claim compensation as dependents of a deceased parent, regardless of their financial independence.
Ensuring adequate compensation assessment for loss of income and dependency following motor accident fatalities.
Determination of compensation in fatal accident claims based on income and dependencies established under relevant case law.
The court clarified compensation calculation principles in motor accident claims regarding loss of dependency and legal precedents applied for fairest judgments.
Compensation assessment must consider accurate income, dependency calculations, and avoid duplication of claims.
Claimants can receive compensation for loss of dependency regardless of age or employment status, assessed based on overall circumstances.
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