A child with 15% permanent disability is entitled to ₹3 lakh under Master Mallikarjun.

On 21 April 1999, the appellant, then aged approximately 13 years, was travelling as a labourer in a trolley attached to a tractor from Dhoravira towards the Sim of Dhoravira. The tractor was allegedly driven rashly and negligently, causing the tractor and trolley to separate and throwing the occupants out, resulting in multiple injuries to the appellant and other claimants.

The Motor Accident Claims Tribunal partly allowed the claim petition and awarded ₹1,50,000 with interest at 9% per annum from the date of filing until realization. The appellant challenged the award solely on the quantum of compensation.

Whether the compensation awarded to the minor claimant, who suffered 15% permanent disability of the whole body, was inadequate and required enhancement under the principles laid down in Master Mallikarjun v. Divisional Manager, National Insurance Co. Ltd.?

Whether the claimant was entitled to interest on the enhanced compensation for the entire period from the filing of the claim petition, notwithstanding the delay of 2,207 days in filing the appeal?

The Court applied the compensation principles governing motor accident claims and relied principally on Master Mallikarjun v. Divisional Manager, The National Insurance Company Limited & Anr., reported in 2014 (14) SCC 396.

Under that decision, in the case of a child suffering permanent disability, compensation under the non-pecuniary heads—including pain and suffering, mental and physical shock, hardship, inconvenience, discomfort, and loss of amenities—is to be assessed on a broad standardized basis: ₹3,00,000 for disability above 10% and up to 30% of the whole body, ₹4,00,000 up to 60%, ₹5,00,000 up to 90%, and ₹6,00,000 above 90%; for disability up to 10%, ₹1,00,000 is ordinarily appropriate.

The Court also applied the principle that interest may be excluded for the period attributable to delay in pursuing the appeal.

The claimant was a minor aged about 13 years at the time of the accident, and the Tribunal’s assessment of 15% permanent disability of the whole body was not disputed.

Since the disability fell within the “above 10% and up to 30%” category identified in Master Mallikarjun, the Court awarded ₹3,00,000 for pain and suffering, mental and physical shock, hardship, inconvenience, discomfort, and loss of amenities.

Considering the multiple fractures and hospitalization, it further granted ₹10,000 for the parents’ discomfort, inconvenience and loss of earnings during hospitalization, and ₹10,000 as a global amount for medical and incidental expenses because medical bills had not been produced.

The total compensation was therefore recalculated at ₹3,20,000, from which the Tribunal’s award of ₹1,50,000 was deducted, resulting in additional compensation of ₹1,70,000.

Although interest was maintained at 9% per annum, the Court excluded the 2,207-day period of delay in filing the appeal.

The additional amount was to carry interest at 9% per annum from the date of filing of the claim petition until realization, excluding the 2,207-day period of appellate delay.

Respondent No. 4–Insurance Company was directed to deposit the additional compensation and applicable interest within six weeks, after which the Tribunal was to disburse the amount after deducting any deficit court fees and completing due verification.