Karnataka HC Adds ₹6.23 Lakh To Family’s Road-Death Award, Treating Deceased As 39 And Applying 40% Future Prospects

The appellants— the deceased’s wife, two minor children and parents—claimed compensation for his death in a road accident on 15 January 2023.

The Motor Accident Claims Tribunal awarded ₹27,06,960, including ₹25,73,460 for loss of dependency, and directed the insurer to pay interest at 6% per annum.

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

The appeal was brought under Section 173(1) of the Motor Vehicles Act.

In assessing compensation, the Court applied the Karnataka State Legal Services Authority’s notional monthly income of ₹16,250 for an accident in 2023, assessed future prospects at 40%, deducted one-fourth of the income towards personal expenses, and applied a multiplier of 15.

It allowed consortium and conventional amounts for loss of estate and funeral expenses with a 20% escalation, and applied interest at 6% per annum.

No precedent is cited in the judgment.

The Court found that the deceased was 39, rather than 40, based on his date of birth in the PAN card; it therefore applied a multiplier of 15.

It substituted the 2023 notional income of ₹16,250 for the Tribunal’s ₹15,000 and applied 40% future prospects, calculating loss of dependency at ₹30,71,250.

It increased consortium and the amounts for loss of estate and funeral expenses, while leaving medical expenses unchanged, resulting in total compensation of ₹33,30,750.

The judgment states consortium as ₹2,20,000, while also describing it as “₹48,000 x 5”; those figures do not arithmetically correspond.

The Court excluded interest for the 596-day appeal delay pursuant to its order on the delay application.

The appellants were awarded enhanced compensation of ₹6,23,790, with interest at 6% per annum from the date of the petition until realization, but without interest for the 596-day delay in filing the appeal.

The enhanced amount was apportioned in the ratio 60:10:10:10:10; the minor appellants’ shares were to be kept in fixed deposit until majority, and directions were also made for the first claimant’s share and the parents’ shares.