Summary
A 40-year-old mason suffered severe injuries in a road accident requiring prolonged hospitalisation. The Tribunal awarded compensation taking his income at Rs. 2,000 a month and Rs. 50,000 for pain and suffering. The Kerala High Court treated his disability as 100% for computation and enhanced the total to Rs. 8,24,800, but only by raising notional income to Rs. 3,000 a month. The Supreme Court held Rs. 50,000 for pain and suffering too low given the serious injuries and trauma, and raised it to Rs. 4 lakh. It reassessed income at Rs. 5,000 a month, considering minimum wages for a mason and future rise, with a multiplier of 15. Future economic loss thus became Rs. 9 lakh. The total was enhanced to Rs. 15,42,800 with 7.5% interest from the date of the claim petition.
Issues
- Whether the compensation for pain and suffering and for future economic loss awarded to a seriously injured claimant with 100% functional disability was inadequate
Held
- Given the very serious injuries, prolonged hospitalisation and the pain, shock and trauma suffered, Rs. 50,000 for pain and suffering was on the lower side, and Rs. 4 lakh was just and proper. (¶¶ 2, 3)
- Taking the claimant's income as a mason at only Rs. 3,000 a month was erroneous. Considering minimum wages for a mason and future rise in income, with disability taken at 100%, his income should be taken at Rs. 5,000 a month for both past and future loss, with a multiplier of 15 for his age of 40. (¶ 4)
Result
Appeal partly allowed. The award was modified to Rs. 24,000 for loss of earnings, Rs. 9 lakh for future economic loss and Rs. 4 lakh for pain, shock and suffering, a total of Rs. 15,42,800 with 7.5% annual interest from the claim petition; no costs.