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2026 Supreme(Online)(P&H) 80906

IN THE HIGH COURT OF PUNJAB & HARYANA AT CHANDIGARH


FAO-5491-2018 (O&M)


IFFCO TOKYO GENERAL INSURANCE CO. LTD. ......Appellant

vs.

KRISHNA DEVI AND ORS. ......Respondents


Reserved on:- 10.04.2026

Pronounced on:- 12.05.2026

Uploaded on:- 12.05.2026


Present: Mr. Hritik Sharma, Advocate

for Mr. Vishal Aggarwal, Advocate

for the appellant-Insurance Company.

Ms. Deepika, Advocate

for Mr. Sandeep Kumar Yadav, Advocate

for respondents No.1 to 4.

Respondents No.5 and 6 proceeded ex parte

vide order dated 04.09.2019.


CORAM: HON'BLE MRS. JUSTICE SUDEEPTI SHARMA

Whether only the operative part of the judgment is pronounced? NO

Whether full judgment is pronounced? YES

****

SUDEEPTI SHARMA J.

1. The present appeal has been preferred against the award dated 06.03.2018 passed by the learned Motor Accident Claims Tribunal, Narnaul (for short, 'the Tribunal’) in the claim petition filed under Section 166 of the Motor Vehicles Act, 1988, wherein the appellant-Insurance company was fastened with the liability to pay the compensation of Rs.11,35,768/- to the claimants along with interest @ 9 % per annum on the ground of quantum of compensation to be on higher side.

2. As sole issue for determination in the present appeal is confined to quantum of compensation awarded by the learned Tribunal, a detailed narration of the facts of the case is not required to be reproduced here for the sake of brevity.

SUBMISSIONS OF LEARNED COUNSEL FOR THE PARTIES

3. Learned counsel for the appellant-Insurance Company contends that the learned Tribunal has taken income of deceased on higher side. He further contends that income of Rs.11,000/- assessed by the learned Tribunal is wholly without any basis because even as per the minimum wages notified by Government of Haryana on 01.01.2016, the wages of an unskilled worker were Rs.7,976/-, therefore, he prays that the present appeal be allowed and amount of compensation be reduced.

4. Per contra, learned counsel for claimants/respondents No.1 to 4 contends that compensation awarded by the learned Tribunal is on the lower side hence warrants enhancement. He fairly concedes that no independent appeal has been preferred by the claimants/respondents No.1 to 4 for seeking such enhancement. Nonetheless, placing reliance on the judgment of this Court passed in FAO-5934-2015 titled as ‘National Insurance Co. Ltd. Vs. Laltesh and others’, decided on 31.01.2026, he contends that this Court, in exercise of its appellate jurisdiction, possesses ample power to enhance the quantum of compensation even in the absence of a cross-appeal or cross objections filed by the claimants. He therefore, prays that the compensation be enhanced.

5. I have heard learned counsel for the parties and perused the whole record of this case with their able assistance.

SETTLED LAW ON COMPENSATION

6. Hon’ble Supreme Court in the case of Sarla Verma Vs. Delhi Transport Corporation and Another [(2009) 6 Supreme Court Cases 121], laid down the law on assessment of compensation and the relevant paras of the same are as under:-

“30. Though in some cases the deduction to be made towards personal and living expenses is calculated on the basis of units indicated in Trilok Chandra, the general practice is to apply standardised deductions. Having a considered several subsequent decisions of this Court, we are of the view that where the deceased was married, the deduction towards personal and living expenses of the deceased, should be one-third (1/3rd) where the number of dependent family members is 2 to 3, one-fourth (1/4th) where the number of dependent family members is 4 to 6, and one-fifth (1/5th) where the number of dependent family members exceeds six.

31. Where the deceased was a bachelor and the claimants are the parents, the deduction follows a different principle. In regard to bachelors, normally, 50% is deducted as personal and living expenses, because it is assumed that a bachelor would tend to spend more on himself. Even otherwise, there is also the possibility of his getting married in a short time, in which event the contribution to the parent(s) and siblings is likely to be cut drastically. Further, subject to evidence to the contrary, the father is likely to have his own income and will not be considered as a dependant and the mother alone will be considered as a dependant. In the absence of evidence to the contrary, brothers and sisters will not be considered as dependants, because they will either be independent and earning, or married, or be dependent on the father.

32. Thus even if the deceas

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