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2026 Supreme(Mad) 2163

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT
P. VADAMALAI, J.
M/s. National Insurance Company Limited – Appellant
Versus
P. Saravanan S/o Palaniyandi – Respondent
C.M.A. (MD) No. 83 of 2025, C.M.P. (MD) Nos. 1299, 13201 of 2025
Decided On : 20-04-2026

Advocates Appeared:
For the Appellant : P. Malini
For the Respondents: A. Theethar, S.M. Mohand Gandhi

Compensation calculation must prioritize objective medical evidence for age determination and apply established inflationary indices for notional income when direct income proof is unavailable, with appellate intervention reserved only for cases where perversity in the award calculation is clearly demonstrated.

Headnote:(A) Motor Vehicles Act - Death in motor accident - Quantum of compensation - Notional income determination - In the absence of documentary evidence regarding actual income, the tribunal may fix notional income by applying the cost of inflation index - Medical records, such as postmortem and death certificates, prevail over residence-based documentation for determining age - Application of multipliers must align with the age established through competent medical evidence. (Paras 14, 16)

(B) Appeal - Appellate scope - Courts are not to interfere with compensation awards unless there is clear perversity or deviation from settled legal principles - A consistently determined award based on valid documentation and established mathematical methods is regarded as just compensation. (Paras 13, 17)

Facts of the case:
Following a fatal road accident involving a pedestrian, a tribunal awarded compensation to the legal heirs. The insurer filed an appeal challenging the quantum of the award, contending that the income and the age of the deceased were incorrectly assessed.

Findings of Court:
The court upheld the tribunal's decision, confirming that the methodology used to calculate notional income via inflation indices and the determination of age through medical records were correct and legally sound.

Issues: The primary questions addressed were the accuracy of the income assessment performed by the tribunal, the correct determination of age based on contested documents, and whether the resulting compensation was excessive.

Ratio Decidendi: In the absence of primary salary evidence, tribunals are correct to apply inflation-adjusted income metrics. Furthermore, official medical certifications take legal precedence over residential documents for age verification. Absent error or perversity, the original award is maintained as just and reasonable.

Result: Appeal dismissed. Award of the tribunal confirmed.

Table of Content
1. case identification and procedural factual history of the motor accident claim. (Para 1 , 2 , 3 , 4 , 5)
2. parties' conflicting contentions regarding liability, deceased's age, and income calculations. (Para 6 , 7 , 14 , 15)
3. summary of trial evidence and the initial compensation determined by the tribunal. (Para 8 , 9 , 10)
4. judicial assessment of liability, age verification through medical records, and calculation of just compensation. (Para 11 , 12 , 13 , 16 , 17)
5. formal dismissal of the appeal and final confirmation of the tribunal's compensation award. (Para 18)

JUDGMENT :

P. VADAMALAI, J.

1. This Civil Miscellaneous Appeal is preferred against the award, dated 01.03.2024 passed in M.C.O.P.No.1784 of 2021 by the Motor Accident Claims Tribunal/Special District Court to deal with MCOP Cases, Madurai.

2. The appellant herein is the 2nd respondent/Insurance company in M.C.O.P.No.1784 of 2021. The 1st respondent herein is the petitioner/claimant and the respondents 2 to 7 are the 1st respondent and respondents 3 to 7 in M.C.O.P.No.1784 of 2021.

3. For the sake of convenience, the parties as arrayed in M.C.O.P.No.1784 of 2021 are adopted hereunder.

4. The brief facts of the case:

On 19.10.2019 at about 20.30 hours, the deceased Palaniyandi was walking along Karuppayurni to Sivagangai main road near R.K.Weighbridge from east to west by keeping the left side of the road. Whileso, the 1st respondent’s vehicle bearing registration number TN 63 AK 1978 coming from the opposite direction in rash and negligent manner dashed against the deceased. Due to the impact, the deceased sustained multiple grievous injuries all over the body. Immediately, he was admitted in the Government Rajaji Hospital, Madurai on 19.10.2019 and took treatment as an inpatient till 15.11.2019, on which date the deceased died despite of treatment. An F.I.R. in Crime No.183 of 2019 U/s.279, 337 and 304(A) of IPC was registered against the driver of the 1st respondent. The deceased was aged 60 years and was earning Rs.10,000/- p.m. as a Watchman in Rukmani Polytechnic College, Varichiyur, Madurai. The offending vehicle was insured with the 2nd respondent/National Insurance Company. The petitioner is the son of the deceased through the 2nd wife, Panjavarnam, who already died. The respondents 3 to 7 are the wife and children of the deceased Palaniyandi. Hence, the petitioner filed a claim petition seeking compensation of Rs.15,00,000/- for himself and respondents 3 to 7.

5. The 1st respondent remained ex-parte.

6. The second respondent objected to the claim petition by contending that the 1st respondent’s driver was driving the lorry at a moderate speed by observing traffic rules. The deceased, who was walking on the road, voluntarily invited the accident without noticing the oncoming vehicle. The accident happened due to the negligence of the deceased himself. So, the 1st respondent’s vehicle is not responsible for the accident. Hence, the second respondent is not liable to pay any compensation.

7. The respondents 3 to 7 filed a counter and stated that the petitioner is not the legal heir of deceased Palaniyandi and that there is no relationship between the petitioner and these respondents. This petition has been filed concealing true information.

8. Before the Tribunal, the petitioner/claimant examined two witnesses as P.W.1 and P.W.2 and marked nine documents as Ex.P.1 to Ex.P.9. On the respondents' side, R.W.1 was examined and Ex.R.1 to Ex.R.14 were marked.

9. After hearing both sides and after considering the evidence, the Tribunal has held that the accident took place due to the negligence of the driver of the 1st respondent’s vehicle. The Tribunal has considered the age of the deceased and awarded a total compensation of Rs.15,72,512/- under various heads.

10. Aggrieved by the said award, the 2nd respondent/Insurance Company has preferred this Civil Miscellaneous Appeal.

11. The short issue which has to be considered is whether the compensation has t

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