Compensation for a minor’s death must be assessed using state-notified minimum skilled-worker wages.

The appellants, parents of Mukesh Kumar Dewangan, appealed under Section 173 of the Motor Vehicles Act, 1988, seeking enhancement of compensation awarded for their 11-year-old son’s death in a road accident on 19 November 2021.

The Claims Tribunal had awarded ₹3,85,000, assessing annual income at ₹30,000, applying a multiplier of 15, and awarding ₹70,000 under conventional heads.

The appellants argued that the deceased’s income should be assessed using the Chhattisgarh minimum wage for a skilled worker, and that compensation under conventional heads and the multiplier should be increased.

Whether the deceased child’s income should be assessed by reference to the minimum wage payable to a skilled worker, rather than the income assessed by the Tribunal.

Whether the Tribunal’s multiplier and award under conventional heads required enhancement.

Section 173 of the Motor Vehicles Act, 1988 provides for an appeal against a Claims Tribunal’s award.

Applying Hitesh Nagjibhai Patel v. Bababhai Nagjibhai Rabari & Anr., the Court held that a minor child who dies or suffers permanent disability in a motor vehicle accident should not be treated as a non-earning individual merely because the child was not employed; at minimum, income should be assessed using the notified minimum wage for a skilled worker in the relevant State.

The Court also relied on Kajal v. Jagdish Chand, Baby Sakshi Greola v. Manzoor Ahmad Simon, Pranay Sethi, Sarla Verma v. Delhi Transport Corporation, and Magma General Insurance Co. Ltd. v. Nanu Ram in determining the compensation, including future prospects, multiplier, and conventional heads.

The Court applied Hitesh Nagjibhai Patel to the deceased, an 11-year-old student, and substituted the Tribunal’s annual income assessment with the notified skilled-worker wage of ₹10,710 per month, or ₹1,28,520 annually.

It added 40% for future prospects, deducted one-half for personal expenses, and applied a multiplier of 18, producing loss of dependency of ₹16,19,352.

It also increased compensation under conventional heads from ₹70,000 to ₹1,21,000.

After deducting the amount already awarded, the appellants were entitled to an additional ₹13,55,352, carrying interest at 6% per annum from the date the claim petition was filed until realization; the remaining terms of the Tribunal’s award remained unchanged.

The Registry was directed to communicate the enhanced amount to the claimants in Hindi.