IN THE HIGH COURT OF MADHYA PRADESH AT GWALIOR BEFORE HON'BLE SHRI JUSTICE HIRDESH

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ON THE 27 OF JANUARY, 2026 MISC. APPEAL No. 6599 of 2025 THE NEW INDIA ASSURANCE CO LTD MANAGER Versus AMAR SINGH AND OTHERS Appearance:

Shri Kamal Kumar Rochlani - Advocate for the appellant/Insurance Company.

Shri Akhlesh Kumar Gupta-Advocate for respondent Nos. 1 to

5/claimants.

ORDER This appeal under Section 173(1) of the Motor Vehicles Act, 1988 has been filed by the appellant–Insurance Company challenging the award dated 14.05.2025 passed by the XXXIII Member, Motor Accident Claims Tribunal, District Gwalior (M.P.), in Claim Case No. 809/2024, seeking reduction of the amount of compensation.

2. The respondents/claimants have filed cross-objections seeking enhancement of the compensation awarded by the Claims Tribunal.

3. The date of the accident, the finding of negligence, and the liability of the Insurance Company are not in dispute. The findings recorded by the Claims Tribunal on these aspects have attained finality, as the same have not been challenged in the present appeal.

4. As per the impugned award, the Claims Tribunal has awarded a total compensation of Rs. 22,68,960/- along with interest from the date of filing of the claim petition till its realization on account of the death of Nattho Bai in the motor accident.

5. Learned counsel for the appellant–Insurance Company, assailing the impugned award, submitted that respondent No. 1, being the husband of the deceased, is an earning member, and respondent Nos. 2 and 3 are married sons of the deceased and were not financially dependent upon her. It is contended that the Claims Tribunal has committed an error in not deducting the appropriate amount towards personal expenses of the deceased. Relying upon the decision of the Hon’ble Supreme Court in Sarla Verma and Others vs. Delhi Transport Corporation and Another, (2009) 6 SCC 121, it is submitted that one-fourth of the income ought to have been deducted towards personal expenses. It is further contended that the Claims Tribunal erred in assessing the age of the deceased in the age group of 41 to 45 years, whereas she was more than 50 years of age, and consequently erred in applying the multiplier of 14. On these grounds, prayer has been made for reduction of the compensation amount.

6. Per contra, learned counsel for the claimants, in support of the cross- objections, submitted that the Claims Tribunal has erred in assessing the income of the deceased on the lower side. It is contended that the deceased was a homemaker and ought to have been treated as a manager of the household, and her income should have been assessed at least equivalent to that of a skilled labourer. It is submitted that the assessment of income treating the deceased as an unskilled labourer is erroneous, and on this ground, enhancement of compensation has been sought.

7 . Learned counsel for both the parties opposed the contentions raised by each other.

8. Heard learned counsel for the parties and perused the entire record of the Claims Tribunal.

9. So far as deduction towards personal expenses is concerned, it is evident from the record that respondent No.1 is the husband of the deceased and respondent Nos. 2 to 5 are her children. From the evidence of Anand (A.W.2), it is clear that he and his brother Parshuram are married and are engaged in labour work. However, the evidence also shows that their earnings are meagre and respondent Nos. 4 and 5 are bachelor children of the deceased.

10. In the case of National Insurance Company Vs Birender and others, 2020 SCC Online SC 28, the Apex Court held in para No. 14 as under :-

It is thus settled by now that the legal representatives of the deceased have a right to apply for compensation. Having said that, it must necessarily follow that even the major married and earning sons of the deceased being legal representatives have a right to apply for compensation and it would be the bounden duty of the Tribunal to consider the applicatio