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2024 Supreme(Online)(KER) 37729
HIGH COURT OF KERALA
Easwaran S., J
ABDUL SATHAR – Appellant
Versus
THE NEW INDIA ASSURANCE COMPANY LIMITED – Respondent
MACA 250/2021
The court established that all salary components must be included in income assessment, recognized 100% disability for the claimant, and emphasized the need for proper reasoning in rejecting medical expenses.
Headnote:(A) Motor Vehicles Act, 1988 - Compensation claims - Assessment of income and disability - Tribunal awarded insufficient compensation for permanent disability and loss of earnings, fixing income lower than established by pay slips. Court held that 100% disability should be recognized and future prospects calculated at 50%. (Paras 4, 8, 10, 12)
(B) Evidence - Medical expenses - Tribunal failed to assign reasons for rejecting medical bills for ayurvedic treatment. Court ordered inclusion of these expenses. (Paras 11, 13)
Facts of the case:
The appellant, a 24-year-old executive, sustained severe injuries in an accident caused by a bus. He was rendered quadriplegic and claimed compensation based on his income and disability. The Tribunal awarded insufficient compensation.
Findings of Court:
The Court increased the compensation significantly, recognizing 100% disability and proper calculation of future prospects and medical expenses.
Issues: The main issues were the correct assessment of income, disability percentage, and justification for rejecting medical expenses.
Ratio Decidendi: The Court ruled that all components of salary must be included in income calculation and that the tribunal's assessment of disability was inadequate. Additionally, it emphasized the need for proper reasoning in rejecting claims.
Result: Appeal allowed, with enhanced compensation of Rs.78,88,135/- awarded with interest.
JUDGMENT
The appellant is the claimant in O.P(MV) No.276 of 2018 on the files of the Motor Accidents Claims Tribunal, Perumbavoor has come up with the present appeal aggrieved by the insufficiency in compensation granted by the Tribunal.
2. A 24-year-old enterprising young man working as an executive in the Claims Department of Future Generali Insurance Company from 2015 onwards. According to the appellant, on 16.06.2016 at 9.45 a.m. while he was riding his Scooter bearing Registration No.KL-40/G-8568 through Mankavu to Mavoor road junction mini bypass road near Manalthazham KTC Ground, a KSRTC bus bearing Registration No.KL-15/A-1251 (RPE-471) driven in a rash and negligent manner from the opposite direction hit against the claimant's scooter. Due to the accident the claimant sustained severe injuries and was taken to MIMS hospital, Calicut from there he was referred to Christian Medical College, Vellore and was treated there as an inpatient. The claimant contended that he was having an income of Rs.30,000/- at the time of accident. To prove the claim Ext.A1 to A21 documents were produced. The respondents produced Ext.B1 the copy of the policy. To sustain his plea regarding the income, claimant examined PW1, who is the authorised representative of the Company. Despite being successful in proving Ext.A12 series of pay slips, the Tribunal fixed the monthly income as Rs.20,495/- and proceeded to consider the claim for compensation. As a result of the accident, the claimant, having sustained severe injuries, was permanently disabled. In order to establish the permanent disability, the claimant produced A15 - certificate of disability from Taluk Head Quartes Hospital, Perumbavoor. In terms of A15, the Medical Board had assessed the disability of the claimant at 80%, and the appellant is quadriplegicand still lying in a vegetative state. Despite these compelling facts, the tribunal assessed the disability at only 80% and granted a consolidated amount towards the future attendant charges and granted the following compensation :-
| Sl. No. | Head of claim | Amount claimed | Amount awarded | Basis-vital details in a nut shell |
| 1 | Loss of earning | 3,60,000 | 1,84,455 | 20495x9 months |
| 2 | Partial loss of earnings | Nil | Nil | |
| 3 | Transport to hospital | 1,00,000 | 30,000 | 2 Hosp + several reviews |
| 4 | Extra nourishment | 1,00,000 | 70,000 | |
| 5 | Pain & suffering | 3,00,000 | 1,50,000 | |
| 6 | Loss of amenities etc | 3,00,000 | 1,25,000 | |
| 7 | Permanent disability | 70,00,000 | 49,58,150 | 28693x12x18x80% |
| 8 | Attendance charges | 5,00,000 | 70,000 | 500x140 days |
| 9 | Damage to clothes etc | 2,000 | 1,500 | |
| 10 | Medical bills | 15,00,000 | 9,79,774 | Actual medical bills |
| 11 | Future treatment | 5,00,000 | 1,50,000 | |
| 12 | Future bystander expenses | Nil | 2,00,000 2,50,000 | Till Date Future expenses |
| 13 | Marriage propsects | 3,00,000 | 50,000 | |
| Total limited to | 1,09,62,000 limited to 1,00,000 | 72,18,879 | ||
| Sl. No | Head of Claim | Amount awarded by the tribunal | Modified in appeal | Total compensation |
| 1 | Loss of earnings | 1,84,455 | 1,84,455(-) | Deleted |
| 2 | Pain & suffering | 1,50,000 | 1,00,000 | 2,50,000 |
| 3 | Loss of amenities | 1,25,000 | 1,25,000 | 2,50,000 |
| 4 | Permanent disability | 49,58,150 | 28,61,590 (78,19,740- 49,58,150) | 78,19,740 ( 36202.5x12x 18x100/100 |
| 5 | Future treatment | 1,50,000 | 1,50,000 | 3,00,000 |
| 6 | Future bystander expenses | 2,50,000 | 42,86,000 (45,36,000- 2,50,000) | 45,36,000 (10,500x12x18 x2) |
| 7 | Marriage prospects | 50,000 | 2,50,000 | 3,00,000 |
| 8 | Dietary expenses | Nil | 3,00,000 | 3,00,000 |
| TOTAL | 58,67,605 | 78,88,135 | 13,755,740 |
3. Heard Sri.A.N.Santhosh, the learned counsel appearing for the appellant and Smt.K.Renuka Devi, Standing Counsel appearing for the respondent/insurance company.
4. Sri.A.N.Santhosh, the learned counsel appearing for the appellant, submitted that the income fixed by the Tribunal is erroneous. The claimant having been successful in establishing the contents of the Ext.A12 series of pay slips, the Tribunal could not have fixed the monthly income at Rs.20,495/- by discarding the components of pay. By referring to Ext.A12, he pointed out that except for an amount of Rs. 208/- towards professional tax, the rest of the amounts included in the payment has to be reckoned while calculating the
