Bharti Axa General Insurance Co. ... vs Gyan Chand & Ors
2017 Latest Caselaw 990 Del

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*    IN THE HIGH COURT OF DELHI AT NEW DELHI
%                           Date of Decision: 20th February, 2017
+      MAC.APP.1143/2014
BHARTI AXA GENERAL INSURANCE CO. LTD.     .... Appellant
                 Through: Mr.Navneet Kumar, Mr.Vikas
                          Bhadana, Advs.

                          versus

GYAN CHAND & ORS                                ..... Respondents
                          Through:    Mr.Anshuman Bal, Adv. for R-
                                      1 to R-4.

       CORAM:
       HON'BLE MR. JUSTICE J.R. MIDHA

                      J U D G M E N T (ORAL)

1. The appellant has challenged the award of the Claims Tribunal whereby compensation of Rs.21,43,800/- has been awarded to respondents No.1 to 4.

2. The accident dated 11th June, 2013 resulted in the death of Juli Bai. The deceased aged 36 years was a house wife survived by her husband, two sons and one daughter who filed the claim petition before the Claims Tribunal. The Claims Tribunal took minimum wages of Rs.8,582/- in respect of a skilled person, added 25% towards future prospects and applied the multiplier of 15 to compute the loss of dependency as Rs.19,18,800/-. The Claims Tribunal awarded Rs.1,00,000/- towards loss of love and affection, Rs.1,00,000/- towards loss of consortium and Rs.25,000/- towards funeral expenses.

The total compensation awarded is Rs.21,43,800/-.

3. Learned counsel for the appellant submits that the principle applied by the learned Trial Court to award compensation to a house wife is erroneous inasmuch as the compensation to a housewife would be much more than the compensation to the earning male member of the family. Learned counsel for the appellant has calculated the compensation according the principle followed by the Claims Tribunal which is reproduced hereunder:

Heads Dependency for housewife Dependency for male Loss of (8,918*+25% = 11,147.5 (8,086**+30%FP) = dependency 11,147.5x12x15=20,06,550/- 10,511.8 - 1/3rd = 7,007.9 (7008 round off) 7,008 x 12 x 15 = 12,61,440/-

 Loss of love            25,000/-                1,00,000/-
 and affection
 Loss        of          10,000/-                1,00,000/-
 consortium
 Funeral                     -                    25,000/-
 expenses
 Loss of estate              -                    10,000/-
 Total                  20,41,550/-             14,96,440/-
* Minimum wages of non-matriculate.
** Minimum wage of unskilled person.

4. This Court is satisfied that the principle followed by the learned Claims Tribunal is discriminatory. This Court agrees with the appellant that the compensation to the house wife cannot be more than the compensation to the earning male member of the family. The compensation awarded to respondents by the Claims Tribunal

therefore warrants reduction.

5. Learned counsel for respondents no.1 to 4 submits that the compensation awarded is just, fair and reasonable.

6. During the pendency of this appeal, respondent no.1 expired and his rights devolved upon respondents no.2, 3 and 4 who are already on record. Respondents no.2 and 3 are present in Court and they submit that their father was a labourer. Respondent no.2 is aged 22 years, respondent no.3 is aged 19 years whereas respondent no.4 is aged 17 years and they are staying with their grandmother.

7. This Court is of the view that the minimum wages of Rs.7,722/- in respect of an unskilled person should be taken into consideration. Adding 50% towards inflation, deducting 1/4th towards the personal expenses and applying the multiplier of 15, the loss of dependency is computed as Rs.15,63,705/-. Adding Rs.1,00,000/- towards loss of love and affection, Rs.1,00,000/- towards loss of consortium and Rs.25,000/- towards funeral expenses, total compensation is computed as Rs.17,88,705/-.

8. The appeal is allowed and the award amount is reduced from Rs.21,43,800/- to Rs.17,88,705/- along with the interest @ 9% from the date of filing of petition i.e. 22nd July, 2013 till realization.

9. The appellant has deposited the entire award amount with the Registrar General of this Court out of which 70% amount has already been released to respondents.

10. The Accounts Officer of this Court shall calculate the amount liable to be refunded to the appellant in terms of this judgment and the balance amount to which respondents no.2 to 4 are entitled.

11. List on 28th April, 2017.

12. Respondents no.2 to 4 shall remain present in Court on the next date of hearing along with the passbooks of their savings bank accounts near the place of their residence as well as their PAN cards.

13. The statutory amount be refunded back to the appellant.

14. Copy of this judgment be given dasti to counsel for the parties under the signature of the Court Master.

FEBRUARY 20, 2017                                     J.R. MIDHA, J.
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