Karnataka High CourtTransport, Maritime, and Aviation LawCivil Law

Karnataka HC Adds ₹2.21 Lakh To Parents’ Accident Compensation, Assessing Their ITI-Qualified Son’s Income At ₹18,000 A Month

RAYANAGOUDA SHANKARAGOUDA HOSAGOUDARv.THE MANAGER

Karnataka HC Adds ₹2.21 Lakh To Parents’ Accident Compensation, Assessing Their ITI-Qualified Son’s Income At ₹18,000 A Month. RAYANAGOUDA SHANKARAGOUDA HOSAGOUDAR vs THE MANAGER. Karnataka High Court. LawLens
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In brief

The question

1. Whether the Tribunal’s assessment of the deceased’s income for calculating loss of dependency should be enhanced in light of his completed ITI qualification.

The court held

The Court partly allowed the appeal and increased total compensation to ₹27,02,400, granting an enhancement of ₹2,21,700 with interest at 6% per annum from the date of the claim petition until realization.

It also directed

The insurer was directed to deposit the enhanced amount within six weeks.

The claimants were denied interest for the 281-day delay in filing the appeal and were entitled to release of the enhanced compensation in a 50:50 ratio.

01Facts

The appellants, parents of the deceased, sought enhancement of compensation awarded for his death in a road-traffic accident on 3 February 2024.

pp. 3–4 · ¶ 2–3

The Motor Accident Claims Tribunal awarded ₹24,80,700, including ₹23,56,200 for loss of dependency, with interest at 6% per annum.

pp. 3–4 · ¶ 2–3

The claimants appealed under Section 173(1) of the Motor Vehicles Act, seeking enhanced compensation.

p. 2

02Issues

i.1. Whether the Tribunal’s assessment of the deceased’s income for calculating loss of dependency should be enhanced in light of his completed ITI qualification.

p. 4 · ¶ 6

ii.2. Whether the compensation under conventional heads required enhancement.

p. 5 · ¶ 7

03Law Applied

In assessing compensation for death, the Court applied the principles governing loss of dependency: it used a multiplier of 17 for the deceased’s age, added 40% for future prospects, and deducted 50% for personal expenses because he was a bachelor.

pp. 4–5 · ¶ 5–6

Applying National Insurance Co. Ltd. v. Pranay Sethi, the Court held that a 20% escalation in conventional heads was appropriate because the accident occurred more than six years after that decision.

p. 5 · ¶ 7

Provisions in the judgment · 1 · Linked ones open on LawLens

Motor Vehicles Act, 1988 Section 173

04Reasoning

The deceased had completed an ITI course in Fitter, as supported by his study certificate and marks card. The Court therefore assessed his monthly income at ₹18,000, above the 2024 notional income of ₹17,000, and calculated loss of dependency at ₹25,70,400 using the multiplier, future-prospects addition and personal-expenses deduction described above.

pp. 4–5 · ¶ 6

It recalculated the conventional heads with the 20% escalation, awarding ₹96,000 for consortium, ₹18,000 for loss of estate, and ₹18,000 for funeral expenses and transportation of the body.

p. 5 · ¶ 7 · p. 6 · ¶ 8

05Holding

The Court partly allowed the appeal and increased total compensation to ₹27,02,400, granting an enhancement of ₹2,21,700 with interest at 6% per annum from the date of the claim petition until realization.

p. 6 · ¶ 9 · p. 7, order

The insurer was directed to deposit the enhanced amount within six weeks.

p. 7, order

The claimants were denied interest for the 281-day delay in filing the appeal and were entitled to release of the enhanced compensation in a 50:50 ratio.

p. 7, order
Karnataka High Court

Original Court PDF

RAYANAGOUDA SHANKARAGOUDA HOSAGOUDARvsTHE MANAGER

Karnataka High Court · October 29, 2026

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