Case Note & Summary
The appellant, Rahul, filed a claim petition under Section 166 of the Motor Vehicles Act, 1988, seeking compensation for injuries sustained in a motor accident on 27.01.2013 while riding as a pillion on a motorcycle insured with National Insurance Company Ltd. The Tribunal awarded Rs.5,38,872/- with 6% interest, assessing permanent disability at 25% based on medical records (Exs.P56-P60) and disability certificate (Ex.P57) issued by Dr. N.Y. Joshi, who was examined as PW2. The insurance company appealed, and the High Court reduced the compensation to Rs.4,74,072/- by lowering the disability to 20%, observing that the doctor who issued the certificate was not examined before the Tribunal. The appellant challenged this reduction. The Supreme Court noted that the doctor was indeed examined as PW2 and the High Court's observation was erroneous. The Court held that the High Court reduced the disability without any plausible reason or basis, and therefore set aside the High Court's judgment, restoring the Tribunal's award. The insurance company was directed to deposit the entire compensation with interest within four weeks, and the appellant was permitted to withdraw the same.
Headnote
A) Motor Accident Claims - Disability Assessment - Compensation for Loss of Future Income - Motor Vehicles Act, 1988, Section 166 - The appellant sustained fractures in both hands requiring surgery with implants. The Tribunal assessed disability at 25% based on medical evidence including disability certificate (Ex.P57) and testimony of doctor (PW2). The High Court reduced it to 20% without assigning plausible reasons. Held that reduction was unwarranted as there was no basis for the same; Tribunal's assessment restored (Paras 9-11).
Issue of Consideration
Whether the High Court was right in reducing the percentage of disability suffered by the appellant from 25% as fixed by the Tribunal to 20% while determining compensation.
Final Decision
The Supreme Court allowed the appeal, set aside the High Court judgment, and restored the Tribunal's award. The insurance company was directed to deposit the entire compensation with interest within four weeks, and the appellant was permitted to withdraw the same.
Law Points
- Disability assessment in motor accident claims
- Compensation for loss of future income
- Reappreciation of evidence by appellate court
- Need for reasons to deviate from Tribunal's findings




