Consortium is payable individually to each dependent who suffers the loss of a family member.

The appellants—the deceased’s wife, three minor children and mother—sought enhancement of compensation for his death in a road accident on 25 February 2022.

They claimed that the deceased, aged 33, worked as a mason and earned ₹25,000 per month; the Tribunal assessed his monthly income at ₹14,750 and awarded ₹20,61,300, including ₹40,000 for consortium to one claimant.

The Tribunal found that the accident resulted from the Maxi Cab driver’s rash and negligent driving and that the insurer had not proved that the vehicle carried excess passengers.

The claimants appealed, contending that future prospects and consortium for each dependent should have been awarded.

1. Whether the claimants were entitled to enhanced compensation, including an addition for future prospects and consortium for each claimant

Under Section 166 of the Motor Vehicles Act, 1988, compensation is assessed for death caused by a motor-vehicle accident.

Applying Sarla Verma (Smt.) v. Delhi Transport Corporation, the Tribunal used the multiplier of 15 and deducted one-fourth of the deceased’s income for personal and living expenses.

Under National Insurance Co. Ltd. v. Pranay Sethi, a 40% addition for future prospects applies to the income of a deceased aged below 40.

Under Magma General Insurance Co. Ltd. v. Nanu Ram, consortium is payable to each eligible claimant.

The Tribunal had used the Karnataka State Legal Services Authority chart to assess notional income at ₹14,750 per month.

The Court upheld the Tribunal’s assessment of monthly income, multiplier and one-fourth deduction, but found that it had omitted the 40% future-prospects addition required by Pranay Sethi.

Applying that addition to the monthly income of ₹14,750, and then deducting one-fourth, the Court calculated loss of dependency at ₹27,87,660.

It also held that all five claimants were entitled to consortium at ₹40,000 each, increasing that award to ₹2,00,000; the awards for loss of estate and funeral and transportation expenses were left undisturbed.

It enhanced total compensation to ₹30,17,660 from ₹20,61,300, with interest at 6% per annum from the date of the petition until realization.

The Tribunal’s apportionment, deposit and release directions were maintained, and the insurer was directed to deposit the amount with interest within eight weeks of receiving the certified order.