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2026 Supreme(Online)(Ker) 27840

IN THE HIGH COURT OF KERALA AT ERNAKULAM
SHOBA ANNAMMA EAPEN, J
JESSY – Appellant
Versus
RELIANCE GENERAL INSURANCE COMPANY LTD. – Respondent
MACA NO. 1344 OF 2020 | OP(MV) NO.1706 OF 2016



Advocates:
For the Appellants/Petitioners: SHRI.A.N.SANTHOSH
For the Respondents: SMT. LATHA SUSAN CHERIAN -SC

The court ruled that compensation for accident-related injuries can be enhanced based on the claimant's income and suffering, demonstrating that tribunals must adequately consider present circumstances in compensation determinations.

Headnote:(A) Motor Vehicles Act, 1988 - Quantum of compensation - Claimant appealed for enhancement from tribunal's award of ₹10,08,190/- for injuries sustained in motorcycle accident - Tribunal had calculated notional income at ₹9,000/- while claimant sought ₹30,000/- - Court re-fixed income at ₹12,000/- recognizing claimant as a housewife - Additional compensation awarded for loss of earnings, pain and suffering, loss of amenities, and permanent disability - Final amount increased by ₹3,50,065/- with interest at 8%. (Paras 3-7)

(B) Appeal - Scope of enhancement - The court has the jurisdiction to re-evaluate and enhance the compensation based on the claimant's current circumstances, including income and suffering. (Paras 4, 6)

Facts of the case:
The claimant was a pillion rider involved in a motorcycle accident on 28.08.2016 resulting in serious injuries, leading to a claim initially filed with a request for ₹37,00,000/-, later limited to ₹20,00,000/-.

Findings of Court:
Compensation is adjusted to include additional amounts for lost earnings and pain and suffering, along with other related compensatory adjustments due to the nature of injuries sustained.

Issues: Determination of appropriate compensation amount considering the claimant's loss of earnings, pain and suffering, and permanent disability.

Ratio Decidendi: The court considered the re-evaluation of the compensation necessary due to changes in the claimant’s circumstances and statutory guidance on compensation limits based on set benchmarks. The tribunal's assessment was deemed inadequate given the severity of the injuries and the claimant's domestic role.

Result: Appeal allowed in part, awarding ₹3,50,065/- in additional compensation with specified interest conditions.

Table of Content
1. claimant's right to appeal for compensation. (Para 2 , 3)
2. court's observations regarding the hearing. (Para 4)
3. argument for enhancement of compensation based on various heads. (Para 5 , 6)
4. modification of the tribunal's award. (Para 7)

JUDGMENT

This appeal is filed by the claimant in O.P. (MV) No.1706 of 2016 on the file of the Motor Accidents Claims Tribunal, Perumbavoor, claiming enhancement of compensation. The respondent herein was the 3rdrespondent before the tribunal.

2. According to the claimant, on 28.08.2016 at about 10.30 am, while the claimant was riding as a pillion rider in a motorcycle bearing reg. No. KL-17/C-9125, a car bearing registration No.KL-63- A-2011 driven by the 2nd respondent in a rash and negligent manner hit against the claimant. As a result of the accident, she had sustained serious injuries. The claimant approached the tribunal claiming a total compensation of ₹37,00,000/- limited to ₹20,00,000.

3. The first respondent/owner and second respondent/driver of the offending vehicle remained ex parte before the tribunal. The 3rd respondent/insurance filed a written statement admitting the policy but disputing the quantum of compensation claimed and denying negligence. Before the tribunal, Exts.A1 to A17 and Exts.B1 and C1 were marked. The tribunal, after analysing the pleadings and materials on record, awarded a sum of ₹10,08,190/- with interest @ 8% per annum as compensation under various heads against the 3rd respondent/insurer. Dissatisfied with the quantum of compensation awarded by the tribunal, the claimant has come up in appeal.

4. Heard the learned counsel for the appellant/claimant and the learned standing counsel appearing for the respondent/insurer.

5. The learned counsel for the appellant claims enhancement mainly under the following heads:-

Notional income:- The learned counsel for the appellant submitted that though an amount of ₹30,000/- was claimed, the tribunal had taken only an amount of ₹9,000/- as the income of the injured, who was a housewife. It is further submitted that, going by the judgment in Ramachandrappa v. Manager, Royal Sundaram Alliance Insurance Co. Ltd. [2011 (13) SCC 236], the income of a Coolie, for an accident in 2016, is fixed as ₹10,500/- and sought for enhancement of income. Considering the fact that she is a housewife, in order to award just and reasonable compensation, I find it appropriate to refix the income at ₹12,000/-.

Loss of earnings:- The tribunal has taken a period of seven months for awarding compensation towards loss of earnings. The claimant has sustained head injury with traumatic SAH. Considering the nature of injury sustained as well as the age of the appellant, I am inclined to take a period of ten months for calculating loss of earnings. Since the monthly income has been re- fixed as ₹12,000/-, the compensation payable for loss of earnings for a period of ten months is re-calculated as ₹1,20,000/- (12,000x10). The tribunal has awarded an amount of ₹63,000/- under the afore head. Thus, there will be an additional amount of57,000/-

towards loss of earnings.

Pain and sufferings :- On a perusal of the award, it is seen that though an amount of ₹2,00,000/- was claimed, the tribunal has awarded only an amount of ₹80,000/- under the head pain and sufferings. Considering the age of the appellant as well as the age of the appellant, I find that a total amount of ₹1,00,000/- is to be granted towards loss of amenities. Thus, there will be an additional amount of20,000/- under the afore head.

Loss of amenities:- On a perusal of the award, it is seen that the tribunal has awarded only an amount of ₹70,000/- under the head loss of amenities. Considering the age of the appellant as well as the loss of enjoyment in life, I find that a total amount of ₹1,00,000/- is to be granted towards loss of amenities. Thus, there will be an additional amount of30,000/- under the afore head.

Permanent disability/loss of earning power:- On a perusal of

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