On Thursday, the Supreme Court delivered a significant ruling on the value of unpaid domestic work, holding that the loss of a wife's domestic care must be treated as a distinct head of compensation in motor accident claims. While granting additional compensation to a widower whose wife died in a road accident, the Court recognised the contribution of homemakers beyond household duties, a move that could influence the assessment of compensation in similar cases across the country.
The case arose from a challenge to a 2024 judgment of the Punjab and Haryana High Court concerning a road accident that occurred in 2001, in which a woman lost her life after a collision between two jeeps. Compensation exceeding ₹8 lakh had been awarded to the deceased woman's family, including her husband and three children. Before the Apex Court, the issue centred on whether the value of a homemaker's domestic care and services could be separately recognised while determining compensation under the Motor Vehicles Act. The Court examined the broader role played by homemakers in nurturing families and contributing to society, and considered whether existing compensation principles adequately reflected that contribution.
The Division Bench of Justice Sanjay Karol and Justice N. Kotiswar Singh held that the loss of domestic care provided by a wife constitutes an independent ground for compensation in addition to the principles already recognised under existing law. Emphasising the importance of unpaid household work, the Court observed, “The loss of domestic care would be an additional ground in addition to what has been laid down in Pranay Sethi.” It further noted that a homemaker contributes not only to the development of individuals but also to the nation, and quantified the value of such domestic care at ₹30,000 per month. The Bench also requested Chief Justices of all High Courts to monitor motor accident claim cases and ensure that the summary procedure contemplated under Section 169 of the Motor Vehicles Act is followed in its true spirit.
The appeal was accordingly allowed with additional compensation granted to the claimant.
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