Future-loss compensation must account for future prospects when assessing income affected by permanent disability.

The appellant, an injured claimant, appealed under Section 173 of the Motor Vehicles Act, 1988, against the Motor Accident Claims Tribunal, Gondal’s award dated 9 February 2024 in Motor Accident Claim Petition No. 135 of 2016.

The appellant sought enhancement, arguing that the Tribunal had inadequately assessed compensation and had not awarded for future prospects.

The High Court treated the accident and liability findings as undisputed for purposes of the appeal.

Whether the Tribunal had erred in assessing the claimant’s compensation, warranting enhancement of the award.

Whether the claimant was entitled to compensation for future loss of income, including future prospects.

The appeal was brought under Section 173 of the Motor Vehicles Act, 1988.

The Court described the Act as beneficial legislation and held that compensation must be just and fair, determined on a holistic and realistic basis, and not assessed niggardly; the Tribunal must endeavour to award just compensation.

The judgment cited no specific precedent or additional statutory provision as the basis for quantifying compensation.

The Court found that the Tribunal had erred in assessing compensation and recalculated the award.

For future loss of income, it took monthly income of Rs.22,316, added 40% for future prospects, applied 15% disability and a multiplier of 17, and assessed the amount at Rs.9,56,148.

It also awarded Rs.67,000 for three months’ actual income loss, Rs.25,000 for pain, shock and suffering, Rs.1,68,500 for medical expenses, and Rs.20,000 for special diet, attendant charges and transportation.

The Court assessed total compensation at Rs.12,36,648, deducted the Tribunal’s award of Rs.9,63,400, and calculated an enhancement of Rs.2,73,248.

The Tribunal’s apportionment of negligence—80% and 20% between the offending vehicles insured by opponent Nos. 4 and 6—was maintained.

The Court awarded an additional Rs.2,73,248 with interest at 9% per annum from the date of the claim petition until realisation, excluding the 357-day delay in filing the appeal.

The Insurance Company was directed to deposit the enhanced amount with interest within eight weeks; the Tribunal’s remaining directions were preserved, and it was directed to disburse the amount in accordance with the order.