A 40% future-prospects addition applies when calculating compensation for a deceased aged 26.

On 14 July 2012, the deceased, aged 26, was standing by the roadside with his father when a truck struck him. He died later that day after being admitted to hospital.

The Tribunal found the truck driver negligent, assessed the deceased’s monthly income at Rs. 4,000, and awarded total compensation of Rs. 9,30,946.

The claimants appealed, seeking enhancement, including compensation for pain, shock and suffering before death.

Whether the Tribunal’s assessment of the deceased’s income and the resulting compensation for loss of future income required enhancement.

Whether the claimants were entitled to enhanced compensation under non-pecuniary heads, including pain, shock and suffering.

Whether the Tribunal’s finding that the truck driver was fully negligent warranted interference.

In Mangla Ram v. The Oriental Insurance Company, 2018 (5) SCC 656, the Supreme Court held that filing a charge-sheet against the driver of the offending vehicle is prima facie evidence of negligence.

Under National Insurance Company Ltd. v. Pranay Sethi, AIR 2017 SC 5157, future prospects are added to income when calculating loss of dependency, and conventional heads of compensation are assessed in accordance with the principles set out in that decision.

The Court also relied on Reena v. Managing Director, Karnataka State Road Transport Corporation, 2026 (0) AIJEL-SC 77486, in fixing compensation for consortium and other non-pecuniary sums.

The Court upheld the negligence finding because a charge-sheet had been filed against the truck driver, making the Tribunal’s conclusion that the driver was 100% negligent proper.

As there was no evidence establishing the deceased’s income, the Court considered the Tribunal’s Rs. 4,000 monthly assessment inadequate in light of the deceased’s family responsibilities and fixed income at Rs. 6,000 per month.

Applying Pranay Sethi, it added 40% for future prospects, deducted one-fourth for personal expenses given the five dependants, and applied a multiplier of 17, producing loss of future income of Rs. 12,85,200.

It then awarded Rs. 2,60,000 for consortium, Rs. 19,500 each for loss of estate and funeral expenses, and Rs. 20,000 for pain, shock and suffering, noting the deceased’s 11-hour hospitalisation.

Medical expenses of Rs. 4,146 were left undisturbed.

The enhanced amount was directed to carry interest at 9% per annum from the date of the claim petition until realisation, and the Insurance Company was ordered to deposit it with interest within eight weeks of receiving the judgment.

The enhanced sum was to be disbursed to the claimants by NEFT/RTGS after verification.