Compensation for fatal accidents involving minors must utilize a notional income reflective of current economic conditions and an appropriate multiplier based on the child's age.

JUDGMENT :

LAXMI NARAYANA ALISHETTY, J.

Heard learned counsel Ms.Satya Manjula for the appellant- insurance company and Sri. Ajay Kumar Madisetty, learned counsel for respondent Nos.1 and 2-claim petitioners.

2. The present appeal has been filed by the appellant-Insurance Company aggrieved by the impugned award, dated 29.06.2025 in M.V.O.P.No.281 of 2022 (old MVOP No.875 of 2019) passed by the Chairman, Motor Accidents Claims Tribunal-cum-Principal District Judge at Mulugu (for short, ‘Tribunal’) and thereby, seeking to set aside the impugned order.

3. Appellant herein is the respondent No.3/insurance company, respondent Nos.1 and 2 herein are the claim petitioners 1 and 2, respondent Nos.3 and 4 herein are the respondent Nos.1 and 2, who are the driver and owner of the crime vehicle, respectively before the Tribunal. For convenience, hereinafter, the parties are referred to as they are arrayed before the Tribunal.

4. The brief factual matrix of the present appeal is as under:

4.1. On 26.06.2019 at about 07.45 a.m., while the deceased– Akshara, aged 5 years, was proceeding from her house to main road, Mallampally village of Mulugu District, the respondent No.1 who was the driver of Sri Vivekananda School Bus bearing registration No.AP-15-B-7787 (hereinafter referred to as ‘crime vehicle’), drove the bus in rash and negligent manner and dashed the deceased-Akshara, as a result, she received injury to leg and was immediately shifted to Max Care Hospital, Hanamkonda and taht while undergoing treatment, she died on the same day at about 10.15 a.m. The Police, Mulugu Police Station registered a case in Crime No.192/2019 under Sections 304-A and 337 of IPC against the driver of the crime vehicle i.e., respondent No.1 and filed charge sheet against him.

5. The claim petitioners i.e., the parents of the deceased filed claim petition against the driver and owner of the vehicle and insurance company under Section 166 of the Motor Vehicles Act, 1988 before the Tribunal claiming for compensation of Rs.5,00,000/- along with interest from the date of the accident till the date of realization.

6. The claimants averred that the deceased was aged about 5 years as on the date of accident; that she was hale and healthy and was studying 1^st class and she has got bright future and due to untimely death of their daughter, they are put to great hardship and suffered mental agony and lost love and affection.

7. Respondent Nos.1 and 2, who are the driver and owner of the crime vehicle, remained ex-parte before the Tribunal. The Insurance Company filed counter denying the allegations of the claim petitioners with respect to the manner of occurrence of accident and the age of the deceased and further contended that the alleged accident had occurred due to gross negligence on the part of the deceased since she was unable to cross the road by following the traffic rules and as such, the insurance company is not liable to pay compensation to the claim petitioners and prayed to dismiss the claim petition.

8. Based on the above pleadings, the Tribunal has framed the following issues:

1) Whether the accident occurred on 26.06.2019 at about 7.45 hours at main road, Mallampally village of Mulugu Mandal and district, due to alleged rash and negligent driving of the driver of Sri Vivekananda High School Bus bearing No.AP-15-B-7787 resulting in death of Chidara Akshara ?

2) Whether the petitioners are entitled for compensation as claimed for? If so, to what amount and from whom?

3) To what relief?

9. In order to substantiate the case, on behalf of the claim petitioners, P.Ws.1 and 2 were examined and Exs.A1 to A8 were marked. On behalf of the 3^rd respondent-insurance company, none w