The Supreme Court has enhanced compensation in a motor accident claim involving a 20-year-old victim who suffered paraplegia following a road accident in 2001 and remained bedridden with 100% disability until his death in 2021. The appeal, pursued by his mother after his demise, challenged the quantum of compensation fixed by the Delhi High Court.
The Tribunal had awarded ₹18.03 lakh, while the High Court raised the figure to ₹32.46 lakh, including medical expenses, attendant charges, and non-pecuniary damages. However, both had computed the victim’s income on the basis of minimum wages applicable to a skilled worker.
Observing that the victim was a final year B.Com student preparing for the Chartered Accountants examination, the Supreme Court held that a notional income of ₹5,000 per month was a fairer estimate, with 40% added for future prospects. On this basis, the Court calculated loss of income at ₹15.12 lakh. Adding ₹14 lakh under conventional heads and ₹11.22 lakh towards medical expenses, the Court fixed total compensation at ₹40.34 lakh, carrying 9% interest from the date of the claim petition.
Additionally, the Court directed the insurer to pay ₹20 lakh towards medical expenses incurred by the victim’s parents over two decades. This sum will not carry interest if paid within four months, failing which 9% interest will accrue from the date of judgment.
With this modification, the appeal was allowed, granting the family enhanced compensation in recognition of the victim’s lost potential and prolonged suffering.
