For fatal accidents involving minors, a multiplier of 15—not 18—applies to loss-of-dependency calculations.

Lovejot Singh, aged 15 years and studying in Class 9, died in a motor-vehicle accident on 10.03.2000 when truck No. HPS-5716 was allegedly driven rashly and negligently by respondent No.1. The truck was owned by respondent No.2 and insured with respondent No.3.

The Motor Accident Claims Tribunal, Patiala, held the driver negligent and awarded the deceased’s parents compensation of ₹96,000 with interest at 9% per annum from the date of filing of the claim petition until realization.

The claimants appealed seeking enhancement, contending that the deceased’s income had been assessed inadequately, future prospects had not been added, and compensation under the conventional heads had not been granted.

The finding on negligence was not challenged by the respondents and was therefore affirmed.

The Court applied Section 166 of the Motor Vehicles Act, 1988, under which dependants are entitled to “just compensation” for death caused by a motor accident.

Relying on Syed Basheer Ahamed v. Mohd. Jameel, it held that compensation must be reasonable and based on settled principles rather than conjecture, windfall, or misplaced sympathy.

Following Karuna Parmar v. Prakash Sinha and Baby Sakshi Greola v. Manzoor Ahmad Simon, the Court treated the minimum wages of a skilled worker as the appropriate basis for assessing the prospective income of a minor child.

Under National Insurance Co. Ltd. v. Pranay Sethi, 40% was added towards future prospects and compensation was granted under conventional heads.

Applying Sarla Verma v. Delhi Transport Corporation, 50% of the income of the deceased bachelor was deducted towards personal and living expenses.

On the basis of Sadhana Tomar v. Ashok Kushwaha, the father was treated as financially dependent upon the deceased son.

Following Devendra Kumar Tripathi v. The Oriental Insurance Co. Ltd., the Court applied a multiplier of 15 in a fatal-accident case involving a minor, distinguishing the multiplier of 18 applied in Baby Sakshi Greola in a permanent-disability context.

Loss of filial consortium was awarded in accordance with Magma General Insurance Co. Ltd. v. Nanu Ram and United India Insurance Co. Ltd. v. Satinder Kaur.

The Court accepted ₹2,700 per month as the deceased’s notional income, representing the approximate minimum wages of a skilled worker in Punjab in 2000.

It added 40% for future prospects, resulting in a monthly income of ₹3,780.

Since the deceased was a bachelor and both parents were treated as dependants, 50% was deducted for personal expenses, leaving a monthly loss of dependency of ₹1,890 and an annual loss of ₹22,680.

Applying the multiplier of 15 mandated for a minor’s fatal-accident claim, the loss of dependency was calculated at ₹3,40,200.

The Court then added ₹70,000 to the father under conventional heads—₹40,000 for loss of consortium, ₹15,000 for loss of estate, and ₹15,000 for funeral expenses—and ₹40,000 to the mother for filial consortium, producing a total of ₹4,50,200, rounded off to ₹4,50,000.

The total compensation was enhanced from ₹96,000 to ₹4,50,000.

The enhanced amount of ₹3,54,000, together with interest at 9% per annum from the date of filing of the claim petition until realization, was made payable by respondents No.1 to 3 jointly and severally.

The enhanced compensation was directed to be distributed equally between the deceased’s mother and father, with proportionate interest.

The Registry was directed to email the authenticated judgment to the insurer in accordance with the Supreme Court’s directions in Bajaj Allianz General Insurance Co. v. Union of India.