Road Accident Victim’s Widow, Four Children And Parents Get Consortium; P&H HC Raises Compensation By Rs 2.4 Lakh

The claimants sought compensation under Section 166 of the Motor Vehicles Act, 1988, for the death of Salamuddin in a motor-vehicle accident on 29 March 2017.

The Tribunal awarded ₹23,59,038 with interest at 8% per annum and awarded ₹40,000 for loss of consortium.

The widow and children appealed for enhancement, contending that all the claimants were entitled to consortium.

Their appeal was delayed by 823 days; the High Court condoned the delay because the application was supported by an affidavit and the insurer had filed no reply.

Section 5 of the Limitation Act, 1963, permits the court to condone delay where sufficient reasons are shown.

Under Section 166 of the Motor Vehicles Act, 1988, dependants may claim compensation for death caused by a motor-vehicle accident.

Relying on Magma General Insurance Company Ltd. v. Nanu Ram alias Chuhru Ram, 2018 (4) RCR (Civil) 333, and the principles discussed in National Insurance Co. Ltd. v. Pranay Sethi, the Court recognised consortium as encompassing spousal, parental, and filial consortium, compensating for the loss of the deceased’s company, care, guidance, affection, and companionship; the relevant family members may receive compensation under this head.

The Court accepted that the claimants’ contention was supported by the settled law on consortium and that the insurer did not dispute their entitlement.

Applying Magma General Insurance, it held that the five appellants and the deceased’s two parents were each entitled to ₹40,000 for loss of consortium.

This resulted in consortium compensation of ₹2,80,000, an increase of ₹2,40,000 over the Tribunal’s award.

The Court otherwise retained the Tribunal’s assessment, including the 8% interest rate.

The driver, owner, and insurer remained jointly and severally liable; the insurer was directed to deposit the amount within two months, with liberty to recover it from the owner in accordance with the Tribunal’s award.

The Tribunal was directed to disburse the enhanced amount among the claimants as previously apportioned, with the shares of the minor claimants kept in fixed deposits until majority.