Court Upholds 50% Functional Disability, Directs Insurer to Pay Rs.48.44 lakh with Interest for Hemipelvectomy Victim
A bench of Justices K. Vinod Chandran and N. V. Anjaria heard appeals by the claimant seeking enhancement of compensation awarded for injuries sustained in a motor accident on April 9, 2007, including disputes over the correct percentage of disability, the claimant’s pre-accident income, and medical and future prosthetic expenses.
The Court allowed the appeals in part and enhanced the award, holding that the medical board’s certification and the assessment of functional disability and income had to guide compensation. The Court accepted the High Court’s determination of 50% functional disability for loss of earning capacity, held that the income-tax return for the assessment year 2007-08 (gross income Rs.1,96,000) must be accepted as nett income of Rs.1,91,000, applied a multiplier of 18 and 50% disability to compute loss of income (Rs.17,19,000), and directed payment of the entire claimed medical expenses and additional amounts for attendant and prosthetic expenses. The Court, in its reasoning, observed: The Court directed the insurer to pay the enhanced compensation with 6% interest from the date of application, within three months.
Background: The claimant, who had been driving a motorcycle with a pillion rider, was struck by a truck driven rashly and negligently. Liability for the accident and validity of the truck’s insurance policy were not disputed; the insurer did not pursue its appeal on liability. At the Motor Accident Claims Tribunal the claimant’s disability was assessed at 45% (the Tribunal treated the Employees’ Compensation Act schedule as applicable to bilateral amputations), monthly income was fixed at Rs.4,500, medical expenses were partly allowed, and awards were made for attendant expenses and prosthetic limb. The High Court increased disability to 50%, fixed monthly income at Rs.8,000 with 40% future prospects and multiplier 18, and enhanced medical expenses, arriving at a higher total. The claimant challenged reduction of disability as against the Medical Board certificate (annexed as evidence of 90% under the Employees’ Compensation Act schedule) and urged acceptance of income-tax returns; the insurer resisted further enhancement.
The Supreme Court clarified that the relevant measure for compensation is functional disability affecting earning capacity rather than a literal medical-percentage figure under other statutes; it accepted the Medical Board certificate as admissible without an examining witness and endorsed the High Court’s 50% functional disability. The Court criticised the Tribunal’s refusal to accept pre-accident income-tax returns as resting on "mere surmises and conjectures" and accepted the 2007-08 return as reliable. While it disallowed the 40% addition for future prospects (given the 50% disability and the claimant’s ability to continue business with a prosthetic limb), it found reason to award the full medical invoices produced (Rs.12,54,985), restore attendant expenses (Rs.1,00,000) and the Tribunal’s prosthetic-limb award (Rs.4,70,805), and to grant Rs.10,00,000 for future prosthetic servicing and replacements. The Court computed the consolidated award at Rs.48,44,790 and ordered payment by the insurer with interest at 6% per annum from the date of application, within three months; the claimant was permitted to supply bank details for online transfer. Pending applications stood disposed of.
Case Details: Case No.: Civil Appeal Nos.12098-12099 of 2024 (2025 INSC 1076) Case Title: Anoop Maheshwari v. Oriental Insurance Company Ltd. & Ors. Appearances: For the Petitioner(s): Mr. G. V. Rao, Senior Counsel For the Respondent(s): (Counsel for respondents not individually named in the judgment)