HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JODHPUR
REKHA BORANA, J.
Oriental Insurance Company Ltd., Through Its Authorized Signatory Sh. Rajesh Kumar Goyal – Appellants
Versus
Bhagu @ Bhaguta, S/o. Shri Hajari/gadari – Respondents
S.B. Civil Misc. Appeal No. 557 of 2023 Connected With S.B. Civil Misc. Appeal No. 1594 of 2022, S.B. Civil Misc. Appeal No. 1936 of 2022
Decided On : 17-10-2025
| Table of Content |
|---|
| 1. overview of the appeals and awarded compensation. (Para 2 , 3 , 4 , 5 , 6) |
| 2. arguments regarding income assessment and claimant dependency. (Para 7 , 8 , 9 , 10 , 11) |
| 3. court's observations on relying on retrospective income evidence. (Para 12 , 13 , 14 , 15) |
| 4. definition and applicability of 'loss of dependency' in claims. (Para 16 , 18 , 19) |
| 5. apportionment of awarded amounts among claimants. (Para 20 , 21) |
| 6. final orders and directions for payment and distributions. (Para 22 , 23 , 24 , 25) |
JUDGMENT :
REKHA BORANA, J.
1. The present appeals arise out of judgment and Award dated 27.06.2022 passed by Motor Accident Claims Tribunal No.2, Bhilwara in MAC Case Nos. 169/2019 (filed by the parents and siblings of the deceased) and 170/2019 (filed by the widow and children of the deceased).
1.2. S.B. Civil Misc. Appeal No. 1936/2022 has been preferred by the claimants (widow and children of the deceased) for enhancement of the compensation amount as awarded by the impugned Award, whereby an amount of Rs.54,72,838/- was awarded in favour of all the claimants.
1.3. S.B. Civil Misc. Appeal No. 1594/2022 has been preferred by the appellants (widow & children of the deceased) with a prayer that the apportionment of the award amount between the two sets of claimants in both claim cases be directed in terms of law.
1.4. S.B. Civil Misc. Appeal No. 557/2023 has been preferred by Oriental Insurance Company Limited with a prayer to quash and set aside the impugned judgment/Award, and that the appellant Insurance Company be exonerated from the liability to pay the compensation.
2. The brief facts giving rise to these appeals, as pleaded in the claim petitions, are that on 15.08.2018, Lehru Lal Gadri was proceeding from Brahmpuri to Mandal on his motorcycle bearing Registration No. RJ-06-EC-3824. At around 3:00 PM, in front of a brick factory near Haripura on Bhilwara Road, an Innova car bearing Registration No. RJ-06-UC-3456, being driven rashly and negligently, collided with his motorcycle. As a consequence, Lehru Lal suffered grievous injuries and was immediately taken to Mahatma Gandhi Hospital, Bhilwara where he was declared dead. In respect of the accident, FIR No. 0252/2018 came to be registered at Police Station Mandal, District Bhilwara.
3. The offending vehicle, on the date of accident, was duly insured with non claimant No.3 Insurance Company.
4. The learned Tribunal, after framing the issues and considering the oral and documentary evidence adduced by the parties, proceeded on to assess the annual income of the deceased at Rs.3,02,680/- on basis of the Income Tax Returns as exhibited, and after making necessary deduction and addition qua personal expenses and future prospects, awarded a total compensation of Rs.54,72,838/- in favour of the claimants. The breakup of the award is as under:

5. The Tribunal further directed that the claimants shall be entitled to interest @ 6% per annum from the date of filing of the claim petition i.e., 25.09.2017.
6. While deciding both the claim petitions jointly, learned Tribunal apportioned the aforesaid compensation amount between the two sets of claimants as under:
(i) In Claim Case No.169/2019
(a) Claimants – father Bhagu @ Bhaguta and mother Smt. Ghisi were awarded Rs. 4,00,000/- each to be kept in ‘Fixed Deposit’ for three years and Rs. 5,00,000/- each to be deposited in ‘Savings Account’ with a Nationalised Bank.
(b) Claimant siblings i.e. Geeta, Debi Lal and Sita were awarded Rs.40,000/- each under the head of ‘Loss of consortium’ to be deposited in ‘Savings Account’ with a Nationalised Bank.
(ii) In Claim Case No. 170/2019
(a) Claimant daughters Jyoti and Khushbu were awarded Rs.9,00,000/- each to be deposited in a ‘Fixed Deposit’ with a Nationalised Bank till they attain majority.
(b) Claimant wife Sanjiya was awarded Rs.10,00,000/- and Rs.4,00,000/- to be deposited as ‘Fixed Deposit’ with a Nationalised Bank for 5 years and 10 years respectively and the remaining award amount to be dep

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Compensation for motor accident victims must reflect dependency and income potential, with all claimants entitled to equitable consortium claims; historical income tax returns are a valid basis for i....
The main legal point established in the judgment is the entitlement of parents to compensation under the head of dependency loss, considering the income and future prospective income of the deceased.
Legal representatives, even if not dependents, are entitled to compensation on account of loss of estate under S.166 of the Motor Vehicles Act.
The court established that in calculating compensation for motor accident claims, future income prospects should be considered, deductions for personal expenses must reflect the actual number of depe....
Compensation under the Motor Vehicles Act is statutory and distinct from contractual benefits, ensuring claimants receive just compensation for loss due to negligence.
The main legal point established in the judgment is that even major and earning legal representatives of the deceased are entitled to claim compensation under the head of loss of dependency, as inter....
Point of Law : No compensation can be awarded under head ‘loss of love and affection’.
The court established that compensation for motor vehicle accidents must accurately reflect the deceased's income and provide just interest rates, ensuring fair compensation for claimants.
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