Motor accident compensation enhanced by applying Karnataka’s prescribed notional income and recalculating income losses.

On 2 July 2018, the appellant was riding a motorcycle when a passenger in a car ahead opened its left-side door, causing an accident.

The appellant, who was about 47 years old and claimed to work as a garage operator earning Rs.20,000 per month, sought compensation for his injuries.

The Tribunal awarded Rs.3,88,800 with interest at 8% per annum.

The appellant appealed under Section 173(1) of the Motor Vehicles Act, 1988, seeking enhancement.

The appeal was brought under Section 173(1) of the Motor Vehicles Act, 1988, which provides for an appeal from an award of a Motor Accident Claims Tribunal.

In assessing income, the Court applied the notional-income chart of the Karnataka State Legal Services Authority, fixing the appellant’s monthly income at Rs.12,500.

The judgment cites no precedent or further statutory test governing the assessment of the individual compensation heads.

The Court found that the Tribunal had assessed monthly income at Rs.8,500, whereas the applicable Karnataka State Legal Services Authority chart supported Rs.12,500.

Applying the revised income, the Court recalculated future loss of income using the multiplier and disability percentage shown in its table, and increased the award for loss of amenities and income during the laid-up period.

It left the amounts for pain and suffering, nourishment, conveyance and attendant charges, medical expenses, and future medical expenses unchanged.

The Court enhanced the total compensation from Rs.3,88,800 to Rs.4,95,900, an increase of Rs.1,07,100.

The enhanced amount carries interest at 6% per annum from the date of the appeal until realization.

Respondents 1 and 2 were held jointly and severally liable, and the insurer was directed to deposit the enhanced amount within six weeks of receiving the certified order.