Delhi High Court
Icici Lombard General Insurance ... vs Kusum & Ors on 22 May, 2012
Author: G.P. Mittal
* IN THE HIGH COURT OF DELHI AT NEW DELHI
Date of decision:22nd May, 2012
+ MAC.APP. 377/2012
ICICI LOMBARD GENERAL INSURANCE CO. LTD
..... Appellant
Through: Ms.Rameeza Hakeem and
Mr.Rajat Brar, Advocates.
versus
KUSUM & ORS ..... Respondents
Through: None.
CORAM:
HON'BLE MR. JUSTICE G.P.MITTAL
JUDGMENT
G. P. MITTAL, J. (ORAL)
1. The Appeal is for reduction of compensation of `7,30,200/-
awarded for the death of Anubhav Tyagi, a bachelor aged 25
years in an accident which occurred on 17.09.2009.
2. None appears on behalf of Respondents No. 1 and 2 despite
service of notice of Appeal. The learned counsel for the
Appellant submits that there is no breach of terms of policy,
therefore, service of Respondents No. 3 and 4 is dispensed with.
3. The only ground of challenge is that in a petition under Section
163-A of the Motor Vehicles Act, 1988 (the Act), compensation
has to be granted in accordance with the structured formula as
given in Schedule-II to the Motor Vehicles Act.
4. The issue is no longer res integra. This Court in New India
Assurance Co. Ltd v. Pitamber & Ors. (MAC APP. 304/2009
decided on 23.01.2012) after analyzing the various judgments
of this Court and the judgments of Supreme Court in Oriental
Insurance Company Limited v. Hansrajbhai V. Kodala 2001 (5)
SCC 175 and Deepal Girishbhai Soni v. United India Insurance
Co. Ltd. (2004) 5 SCC 385 held that in a petition under Section
163-A of the Act the compensation towards loss of dependency
and non-pecuniary heads has to be granted in accordance with
the structured formula as given in Schedule-II of the Motor
Vehicles Act.
5. In view of this, loss of dependency comes to `4,53,400/-
(40,000 x 2/3 x 17). The Appellants are entitled to
compensation of `2,000/- towards funeral expenses and
`2,500/- towards loss to estate. The overall compensation thus
comes to `4,57,900/-.
6. The compensation is thus reduced from `7,30,200/- to
`4,57,900/-. This amount shall carry interest @ 7.5% per
annum as awarded by the Claims Tribunal. The
Appellant/Insurance Company has not yet deposited the amount
of compensation in terms of the order dated 13.04.2012. Let the
amount of `4,57,900/- along with interest be deposited with the
Claims Tribunal within six weeks.
7. The deceased was a bachelor, 75% of the compensation
awarded shall go to the Respondent No.1 and 25% to the
Respondent No.2. 60% from the amount awarded shall be held
in Fixed Deposit for a period of three years. Rest of the amount
shall be released forthwith.
8. On filing of proof of deposit of the awarded amount with the
Claims Tribunal within eight weeks, the statutory deposit of
`25,000/- shall be refunded to the Appellant/Insurance
Company.
9. The Appeal is allowed in above terms.
10. No costs.
(G.P. MITTAL)
JUDGE
MAY 22, 2012
mr
